Hyperliquid Faces Brief Network Outage, Sparking Community Concerns

Hyperliquid, a decentralized exchange that has surged in popularity throughout 2025, experienced a fleeting network outage today, temporarily disrupting withdrawals. The glitch, resolved within minutes, triggered unease among traders fearing unjust liquidations—particularly those holding short positions.

Community reactions ranged from technical speculation to outright FUD, with some users suggesting the platform's rapid growth may have contributed to the instability. Notably, the outage coincided with heightened activity following high-profile trades and the JELLYJELLY short squeeze, though no evidence suggests systemic risks to open positions.

Hyperliquid's developers acknowledged the incident via Discord but refrained from public statements. The exchange's silent resolution contrasts with its typically vocal community, where traders dissected every minute of downtime as if it were a market-moving event.