Major Whales Dump HYPE Tokens: Strategic Profit-Taking or Insider Knowledge at Play?

Crypto whales are making waves with massive HYPE sell-offs—sparking market jitters and raising eyebrows across exchanges.

Decoding the Sell-Off

Blockchain trackers flag unusual whale wallet activity as nine-figure HYPE positions hit the market. The timing coincides with the token's recent 30% surge—classic profit-taking behavior or something more calculated?

Market Impact Analysis

Liquidations trigger cascading stop-losses while retail traders scramble. Order books show thin buy-side support at key levels—a dangerous cocktail for volatility. Exchange inflows hit 90-day highs as whales apparently cash out.

The Insider Question

Regulatory filings show no pending actions, but decentralized networks operate in gray zones. Some analysts point to upcoming protocol changes—whales often front-run public announcements with surgical precision. Others note the sales align perfectly with tax optimization strategies.

As one fund manager quipped: 'In crypto, 'insider trading' is just called 'being informed'—until the FSA starts paying attention.' The real question isn't why they're selling, but what they're buying next.

• Hyperliquid’s native token, HYPE, is currently under heavy selling pressure as whales cash out ahead of the 24-month vesting plan set to release $11.9 billion worth of tokens, with buybacks only covering 17% of the $500 million monthly unlocks.
• Major investors, including Arthur Hayes, who reportedly sold all his HYPE for an $823,000 profit, and whale wallet “0x316f,” who withdrew $122 million worth of tokens, are taking profits after HYPE hit a new all-time high of $59.29.

HYPE, the native token for Hyperliquid (a decentralized trading platform that aims at providing better trading executions through high speed and deep liquidity for traders), is currently under fire as the token is facing serious selling pressure from major whales and backlash from analysts.

According to research published by Arthur Hayes’s family office fund, Maelstrom HYPE is on the verge of facing a major challenge starting on the 29th of November, when a 24-month vesting plan will release about $11.9 billion worth of HYPE to team members.

The Maelstrom team warns that this process WOULD create a heavy selling pressure, and current buybacks would only cover about 17% of the monthly $500 million unlocks, leaving around $410 million likely to hit the market. The Maelstrom researcher, Lukas Ruppert, also noted that if developers who have worked for years have the opportunity to lay hands on the life-changing sums, there’s a high chance of selling their holdings.

Major HYPE Sell-off

Based on the research released, it is obvious that the co-founder and crypto influencer, Arthur Hayes, has sold off all his HYPE holdings and is planning to use all his $823,000 profits to buy a new Ferrari Testarossa. He’s not alone in the selling spree, as another major investor withdrew his own HYPE token after holding it for nine months and making an unrealized profit of about $90 million.

On Monday as well, another whale wallet identified as “0x316f” withdrew $122 million worth of HYPE tokens. At first, these tokens were originally purchased for about $12 each, and with the price now at $48.27 as of the time of writing, the investor likely sold off his tokens to secure profits.

All these moves have been recorded after HYPE rallied to a new all-time high of $59.29. However, the token faces its first major challenge in November, when team tokens will begin vesting and potentially increase selling pressure.

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