HYPE faces selling pressure after $2.03M whale deposit to KuCoin

Hyperliquid's HYPE fell toward $54.65 after a whale moved 37,390 tokens worth $2.03 million to KuCoin, adding to exchange-bound supply as spot netflows turned positive. The same wallet also transferred 290,750 USDC, worth roughly $290,650, to Kraken an hour earlier, though the HYPE transaction carried more weight because it directly increased tradable token supply.

The deposit, flagged by on-chain monitor OnchainLens, came as spot netflows reached $1.24 million, confirming inflows exceeded outflows during the latest recorded period, according to CoinGlass data. HYPE had registered several pronounced outflow spikes in late July, when tokens left exchanges and reduced immediately available supply. The latest positive reading marked a reversal of that withdrawal-heavy activity, giving sellers a stronger near-term position.

Whale activity outpaces cooling retail demand

Large traders have maintained their presence while broader participation weakened across HYPE's spot market. The spot average order size registered big whale orders, according to CryptoQuant, while the spot volume bubble map cooled, pointing to weaker participation across the wider market. That divergence gives whales greater influence over HYPE's near-term direction — and exchange activity now points their influence toward the supply side, with spot netflows at $793,920 alongside the $2.03 million KuCoin deposit.

Retail demand appears less able to absorb incoming exchange supply under those conditions. Unless broader participation strengthens, whale-driven inflows could keep sellers dominant and restrict HYPE's recovery.

MACD improves but resistance holds at $57.10

Despite the supply pressure, HYPE defended $53.67 and preserved a chance at another recovery attempt. Price reached about $54.65 after rebounding from the lower area of its descending structure, though the descending trendline continued to cap upside below the $57.10 resistance. The MACD improved during the rebound, with its line at -1.93 above the -2.23 signal line and the histogram climbing to 0.30, though both lines remain below zero. RSI reached 43.42, above its 39.57 average but below the neutral 50 threshold.

A sustained recovery could challenge $57.10 and potentially expose $62.48 afterward. Failure around resistance would keep $53.67 vulnerable, while a breakdown could reopen $51.09.

The selling pressure lands against a weakening revenue backdrop. Hyperliquid's gross protocol revenue has fallen four straight quarters, down 43% from its 2025 peak to about $202 million in the second quarter of 2026, DefiLlama data shows, even as open interest hit a record $11 billion. The buyback that supports HYPE — roughly 97% of trading fees flow into the Assistance Fund — contracted to about $149 million in the second quarter from nearly $290 million a year earlier. A roughly 10 million-token unlock worth about $550 million hit core contributors on Aug. 6, adding to the supply overhang.

This article is for informational purposes only and does not constitute investment advice.