Schlagwort: crypto business

• The POPCAT manipulation caused the Hyperliquid HLP to absorb $5M in losses.
• Hyperliquid’s token price currently trades below key EMAs amid bearish momentum.
• HYPE’s retail demand has dropped, and futures Open Interest has fallen to $1.56B.

Hyperliquid price has come under intense pressure following a sophisticated POPCAT attack that left the decentralised derivatives platform reeling from multi-million-dollar losses.

The POPCAT hack, which targeted Hyperliquid’s liquidity provider system, exposed vulnerabilities in Hyperliquid’s risk management while raising concerns about retail demand and overall market sentiment for HYPE tokens.

POPCAT attack led to a $5M HLP loss

The POPCAT attack unfolded on November 12, when a trader executed a series of manipulative trades across the POPCAT token market, using multiple wallets to create an artificial buy wall.

According to on-chain analysts, the trader deployed roughly $3 million in USDC from the OKX exchange, distributing it across 19 separate addresses.

These wallets then opened nearly $30 million in leveraged long positions, inflating the price of POPCAT to over $0.21.

Once the buy wall was removed, the POPCAT price plunged sharply, causing mass liquidations.

Hyperliquid’s market-making system, Hyperliquid Provider (HLP), was forced to absorb the resulting positions due to thin liquidity in the market.

In total, HLP incurred losses of approximately $4.9–$5 million.

The remaining long positions were passed to the Hyperliquidity Provider (HLP) to liquidate.

HLP appears to have lost $4.95M closing out the positions. pic.twitter.com/Qfq9jcy4Mz

— Arkham (@arkham) November 12, 2025

During the crash, the price of POPCAT fell from $0.21 to $0.13, leaving Hyperliquid to manually close positions to prevent further financial damage.

The attack highlighted how coordinated movements of large capital through multiple wallets can destabilise decentralised platforms.

Looking at how the attack unfolded, there are connections to prior manipulative behaviour observed on tokens such as TST, ZEREBRO, JELLYJELLY, and HIFI, although Hyperliquid emphasised that deposits and withdrawals were ultimately restored and normal trading resumed.

Implications for Hyperliquid and DeFi markets

Notably, the POPCAT attack underscores ongoing risks for decentralised exchanges that handle leveraged tokens.

While HLP successfully absorbed the losses and protected liquidity providers, the event demonstrates how thin liquidity and concentrated positions can amplify the effects of market manipulation.

Some commentators on Crypto Twitter have suggested that such attacks may not always be profit-driven, but rather aimed at undermining the reputation of decentralised platforms.

On-chain forensic analyses have scrutinised links between wallets used in the manipulation and entities such as BTX Capital, though allegations remain unproven.

Hyperliquid’s response, including a temporary pause on its Arbitrum bridge, helped mitigate further destabilisation.

However, the incident is likely to weigh on investor sentiment, especially as retail demand for HYPE has remained low following a significant reduction in futures Open Interest over the past month.

Futures Open Interest for HYPE has also contracted from $2.08 billion at the end of October to $1.56 billion, signalling declining risk appetite among traders.

HYPE price reaction to the attack

Despite the loss, Hyperliquid’s HYPE token showed relative resilience in the immediate aftermath.

HYPE price rose modestly from $37.77 to $39.39 following the resolution of the attack, indicating that broader retail confidence in the token remained intact.

However, the token has since pulled back to around $38.09 at press time, hinting at a cautious long-term outlook.

Technical indicators paint a bearish picture, with HYPE trading below its 200-day Exponential Moving Average (EMA) just below $39 and failing to surpass the 50 and 100-day EMAs around $43.

Momentum indicators, including the MACD and RSI, suggest persistent selling pressure, and analysts warn that a decisive break below the $35 support level could accelerate a decline toward the $30 mark.

The post Hyperliquid loses $5M in POPCAT attack, HYPE price comes under pressure appeared first on CoinJournal.

Key takeaways

• Solana is down 10% in the last 24 hours and is now trading below $140.
• The coin could dip further as the market sentiment weakens.

Market sentiment weakens as cryptos suffer huge losses.

SOL, the sixth-largest cryptocurrency by market cap, has lost 13% of its value this week, making it the third consecutive week of recording losses. The bearish performance comes despite the two-week-old Solana spot Exchange Traded Funds (ETFs) in the US recording the lowest net inflows ever, suggesting softer institutional demand. According to Sosovalue, the US Solana spot ETFs logged $1.49 million net inflow on Thursday, mainly driven by the Bitwise Solana staking ETF. This was the lowest inflow since the inception of Solana ETFs, suggesting a decline in demand from institutional investors. 

In addition to that, CoinGlass data reveals that the SOL futures Open Interest (OI) is down 3.34% in the last 24 hours to $7.35 billion. This suggests that futures traders are either closing long positions or reducing leverage. 

In line with the current market conditions, the OI-weighted funding rate has shifted to a negative level of -0.0076% from near-neutral levels earlier in the day, indicating that traders are holding more short positions. If the current market conditions persist, the recovery would be a tough battle for bulls. 

Will Solana extend the decline to $120?

The SOL/USD daily chart remains bearish and efficient as Solana has underperformed in recent days. The coin is edging lower for the fourth consecutive day this week after breaking below the $150 psychological level a few hours ago. 

At press time, SOL is trading at $138 and is aiming for the $126 low from June 22. If SOL breaks below this low, it could test the $100 psychological support over the coming days or weeks. 

The Relative Strength Index (RSI) dips to 36 on the same chart, oscillating towards the oversold zone, indicating selling pressure. The Moving Average Convergence Divergence (MACD) also failed to cross above the signal line, extending the downward trend.

However, if the technical indicators improve and SOL maintains its value above $126, it could record a slight recovery towards the $155 demand-turned-supply zone. The next resistance level at $175 could prove challenging in the near term.

The post SOL could dip below $120 as ETF inflows and sentiment weaken appeared first on CoinJournal.

Key takeaways

• ETH is down 10% and now trades around $3,100 per coin.
• The bearish performance comes as the broader crypto market records a massive selloff.

ETH dips 10% amid wider market selloff

Ether, the second-largest cryptocurrency by market cap, has lost 10% of its value in the last 24 hours, sparking increased profit-taking and loss realization, as prices approached the cost basis of whales.

This latest development comes as Ethereum investors have intensified their selling activities over the past few days. Data obtained from Santiment revealed that investors have booked over $500 million in profits and $100 million in losses since Sunday. 

In addition to that, Ether’s price is approaching the average cost basis or realized price of whales with a balance of 10K-100K ETH, which is around $2,900. A dip below this cost basis will spark intense selling pressure as the whales look to cut losses.

Whales have been key in absorbing selling pressure since ETH’s price decline accelerated over the past month, as they have increased their collective balance by 890K ETH during the period. 

ETH could dip below $3k as selling pressure intensifies

The ETH/USD daily chart remains bearish and efficient as Ether has lost 10% of its value in the last 24 hours. The coin faced rejection at the previous broken trendline around $3,592 earlier this week and has dipped by 10% since then. At press time, ETH is trading at $3,140 per coin. 

If the selloff continues, ETH could lose the $3k support level and dip towards the $2,900 psychological level. Failure to close the daily candle above the $3,170 region could spark further selloff for Ether.

Similar to Bitcoin, Ethereum’s RSI and MACD indicate bearish momentum gaining traction, signaling a deeper correction ahead.

However, if Ether recovers and closes the daily candle above $3,170, it could rally towards the next resistance level at $3,592.

The post Ethereum price forecast: ETH could dip below $3k amid bearish PA appeared first on CoinJournal.