Hyperliquid is witnessing sustained sell pressure across its spot and derivatives markets over the past weeks, although the market is gradually showing signs of a potential relief.
While the market has remained weak since last month, the latest data from Coinglass shows that momentum is gradually being restored, but long traders are still getting wiped out from the Hyperliquid derivatives market.
Hyperliquid's long liquidation hits $3.99 million
With the market already showing signs of a potential relief, it appears that bullish leveraged traders are still getting hit by HYPE's current mixed price action more than short traders.
According to the data, a total of $4.49 million in HYPE positions were liquidated over the last 24 hours. Notably, long positions accounted for $3.99 million, which marks 88.9% of the total liquidations seen during the same period.
This means that short traders were barely affected, as further data showed that short liquidations only stood at $496,730, marking just 11.1% of the total liquidations.
As such, the fast-growing crypto asset has witnessed a liquidation imbalance of 703% over the last 24 hours, as long liquidations were substantially higher than short liquidations.
Apparently, this means that traders betting on HYPE's price surge have suffered nearly eight times the losses recorded by bearish traders.
HYPE sees hourly price reversal
While the intense sell-off seen across the broader crypto market is gradually beginning to ease, Hyperliquid's hourly price chart has suddenly flipped into green territory.
However, HYPE has continued to show mixed price action, hovering around $86 as of the time of writing, following a 2.26% decline in its price over the last 24 hours.
With sentiment already turning positive, it appears that HYPE's long traders may not have timed their bets properly, causing the massive wipeouts of bullish positions.