🔥Why did the Hype token from Hyperliquid suddenly rise? 👀
The #Token #hype of #Hyperliquid has risen more than 24% in the last 24 hours, marking a strong bullish rally. This would have a relation to the increase in the futures volume of the #plata on the decentralized Exchange Hyperliquid.
Silver futures have exploded in popularity on Hyperliquid. During the morning hours of Monday in the U.S., silver traded at $111, reaching a peak price of $117. In this rise of silver, a volume of $1.25 billion was recorded in 24 hours, making it the third most active market on Hyperliquid, only behind #bitcoin and ether.
What does the increase in silver volume have to do with the rise of the Hype token?
It has a lot to do with it, since October Hyperliquid has allowed users to create their own perpetual futures markets (example: silver) by locking HYPE tokens. The fees generated in this market are split 50% for the Exchange and the other 50% for the market creator.
So more trading translates to more income, and under Hyperliquid's current design, most of that income is used to buy back HYPE tokens, which creates a loop, causing the price to rise.
I find the system created by Hyperliquid very interesting, in addition to the option it gives to its users to not only trade cryptocurrencies but also commodities that are having a strong bullish rally at this moment.
Do you think the HYPE token will continue to rise?
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