This message looks like gossip,
But in the order book, it is a process of 'emotional bomb being defused'.
First clarify the facts👇
On-chain monitoring shows👇
Address marked as 'Former Hyperliquid employee'
Fully closed HYPE short position
Average price about 24.17 USD
Small loss exiting
At the same time👇
This address has been continuously reducing HYPE spot since this month
Position size:
👉 5.85 million USD → 2.43 million USD
Cumulative reduction of over 70,000 coins
Currently only about 98,200 HYPE left
Monthly loss: 1.53 million USD
A sentence to define first👇
This is not smart money retreating, but 'narrative risk being digested by the market'.
One, why has this message been suppressing HYPE?
You have to admit one thing 👇
"Former employee + short-selling + on-chain traceable"
It is itself a continuous source of negative emotions.
Even if 👇
The position is not large
Trading logic is not strong
But the market will automatically fill in the gaps 👇
👉 'Is it that insiders are not optimistic?'
👉 'Is there still an unfinished story?'
This uncertainty 👇
For new coins and platform coins, this is the most fatal.
Two, what does it truly mean that he is flat on his shorts + continuously reducing cash?
Pay attention to the order 👇
1️⃣ First, continuously sell the spot
2️⃣ Next is closing short positions
3️⃣ Finally, the account has only 2,430,000 dollars left
This is not a layout, this is 👇
Completely shrink the risk exposure.
And the key is 👇
👉 Not leaving with a profit, but leaving with a loss
This indicates 👇
His grasp of 'continued decline' has disappeared.
Three, Hyperliquid officials come out to 'cut', this step is very critical
Don't ignore this statement 👇
The Hyperliquid team clearly stated:
This address belongs to a former employee who was laid off in Q1 2024
Has completely severed ties with Hyperliquid Labs
Its behavior does not represent the team's stance or values
This step means in market language 👇
👉 The narrative of 'insider short-selling' has been officially ended
👉 What's left is only 👇
Price, liquidity, the product itself
Four, is this good or bad for HYPE? The answer may make you uncomfortable
Short-term perspective 👇
❌ Not good news
❌ Will not pull just because he left
But from a structural perspective 👇
✅ This is a typical 'bad news clearance'
What does it mean?
👉 The scariest story has been told
👉 The most controversial position has already left
👉 Subsequent price fluctuations 👇
No longer carrying 'internal shadows'
Five, why do I say: this is not a victory for the bulls, but 'the surrender of the bears'
Look at the result 👇
Short position: closed
Spot: significantly reduced
Public opinion: clarified
Sentiment: returning to neutral
This is not a victory for the bulls,
But rather 👇
The most lethal card for the bears is gone.
Six, what we should really focus on is 'what HYPE relies on next'
Now the question becomes very pure 👇
❌ No longer about personnel gossip
❌ No longer about internal trading conspiracy theories
✅ Only left with 👇
Product growth
Trading volume
Revenue model
Market competitiveness
This is actually a good thing for a platform.$HYPE
