Decentralized exchange (DEX) Hyperliquid is facing major volatility. Just today, an outflow of 60 million USD in USDC was recorded due to rumors that North Korean hacker groups are attacking the platform.
This also impacts its native token HYPE. The value of this altcoin has dropped more than 10% in the past 24 hours and it looks like this decline will continue.
There was an outflow of money from Hyperliquid as rumors of an attack spread
In one post December 22 on X, cybersecurity expert Tayvano stated on-chain evidence that there were attacks organized from North Korea against Hyperliquid. According to Tayvano, these hackers have actively traded on the platform and suffered losses of more than 700 thousand USD since the start.
Although Hyperliquid has not made an official announcement, the spreading rumors have caused widespread panic among users. This causes strong outflow of money from DEX. According to hashed_official’s Dune Analytics dashboard, USDC inflows from Hyperliquid reached $61 million today, recording an all-time high.
As expected, the sudden outflow has put HYPE price under strong pressure, witnessing a sharp decline in the past 24 hours. At the time of writing, the altcoin is trading at $29.22, down 15% in price.
Furthermore, HYPE’s trading volume skyrocketed 64%, reaching an all-time high of $671 million during the period under review. The negative divergence between Token price and trading volume reflects increasing selling pressure.
When the price of an asset falls while trading volume increases sharply, it indicates heavy selling pressure, with a significant number of participants selling the asset. For HYPE, this sell-off is being fueled by rumors of a DEX hack. This is worsening the decline as supply exceeds demand.
HYPE Price Forecast: $29.93 is the key level to watch
Currently, HYPE trades below resistance at $29.93. As selling pressure increases, the Token’s price will fall further from this zone towards support at $26.12. If the bulls cannot defend this level, the downtrend will resume and HYPE Token price could drop to $22.32.
However, a successful break above the $29.93 resistance could push HYPE Token price to $35.35, invalidating the bearish theory mentioned above.