Hyperliquid’s native token, HYPE, is trading around $42.78 as of Tuesday, up 1.6% in the last 24 hours, with an intraday range of $42.06 to $43.06. The modest gain comes as Hyperliquid Strategies Inc., the project’s operating foundation, reported a net profit of roughly $152.5 million for the first quarter — largely driven by its HYPE holdings — but also disclosed a $165 million net loss over the preceding nine months, stemming from unrealized valuation swings and tax adjustments.
Profit, loss, and a debt-free balance sheet
Hyperliquid Strategies holds about 20 million HYPE tokens and has spent over $220 million building that position. Despite the nine-month loss, the foundation says it carries no debt and has more than $100 million in cash reserves. The Q1 profit shows the underlying volatility of holding a large token position — gains can flip to losses quickly as the market moves.
Buybacks, burns, and the HIP-3 effect
More than 45 million HYPE tokens have already been removed from circulation through buybacks and burns. The recently passed HIP-3 upgrade pushed open interest on Hyperliquid to approximately $1.43 billion, with total derivatives open interest near $1.75 billion. A large chunk of that derivatives activity comes from tokenized real-world assets — oil, gold, and equities — not just crypto-native products.
Weekly protocol revenue sits at around $11.58 million, and total value locked on the platform is roughly $5.42 billion. The next governance proposal, HIP-4, is expected to direct a portion of trading fees toward additional buyback and burn activity, potentially shrinking the circulating supply further.
Technical levels and the HIP-4 catalyst
HYPE’s relative strength index is around 57.61, suggesting the token is strong but not overheated. The MACD trend remains positive. On the charts, key support sits near $43.50–$43.60, while resistance is at $45.70–$45.80. A breakout above $45.70 could push the price toward $50. On the downside, losing current support might trigger a pullback to the $40–$42 range.
For now, the market is watching for the HIP-4 vote and implementation. If passed, the upgrade would lock more fees into the buyback mechanism, giving HYPE a regular demand source — something that could shift the supply-demand balance in the weeks ahead.
