Article reposted from: BlockBeats
Written by: The New World of Ray
With projects like Magic Eden and Movement continuously launching on major international exchanges, the market's coin listing rhythm has exhibited a resonance similar to that of April this year. Often at this time, the market generates supply-side redundancy, with altcoins being in short supply, leading to the phenomenon where Bitcoin and Ethereum hit new highs while altcoins on CEX remain sluggish; these altcoins that have already been listed on CEX are expected to experience Bitcoin's 100,000 USD 'bear market'.
Image from the internet
At this awkward moment when BTC and altcoins are at a standstill, the Hyperliquid ecosystem stands out. Even yesterday, the newly launched memecoin HYENA has surged to a degree that caused the Hypurr Fun Bot to crash.
The Hyper ecosystem is experiencing a general surge, with leading funds accelerating their entry.
Just today, HYPE broke 28 USD. HYPE has risen from 6 USD at the opening on November 29, creating a nearly uninterrupted main surge, smoothly surpassing Layer1s like Fantom and Aptos, reaching a current circulating market cap of about 9 billion USD and an FDV of 27 billion USD, directly entering the top 30 in crypto asset market capitalization.
Image source: CoinGecko
The epic airdrop of HYPE is the biggest turning point in the Hyperliquid ecosystem. Before the TGE, although Hyperliquid had a strong wealth creation effect, there was little discussion about the Hyper ecosystem in the Chinese community, with most people simply categorizing Hyperliquid as a PerpDEX like dYdX; however, after the airdrop was completed, the market was attracted by the rise of HYPE as a 'standalone coin', and Hyperliquid had already transitioned from a PerpDEX to a high-performance trading public chain in the public eye. This is also why Hyperliquid's valuation ceiling continues to rise (shifting from DEX valuation logic to public chain valuation logic).
In addition, blue-chip assets and newly launched coins on Hyperliquid have also attracted attention from leading market funds.
Blue-chip assets continue to reach new highs
Recently, although Hyperliquid has welcomed a spring of liquidity, the assets in the Hyper ecosystem that have increased beyond the average are still some leading assets, including PURR, HFUN, and JEFF.
PURR
PURR is a memecoin airdropped by Hyperliquid to early users, and it has now become the strongest meme of the PURR consensus, without exception. PURR is also regarded as the official mascot of Hyperliquid. Since December 11, it has increased by over 200%, with a market capitalization of 370 million.
PURR's K-line chart
HFUN
Hypurr Fun is the fastest Telegram trading bot on Hyperliquid, while HFUN is the platform token of Hypurr Fun. After being valued on December 5, it has reached new highs, with a 10-day increase of up to 1500%.
HFUN's K-line chart
Additionally, according to blogger Arthur's on-chain tracking, GCR purchased $HYPE at a price of $10, $PURR at $0.30, $JEFF at $19, and $HFUN at $39.
The astonishing coin listing effect
Unlike the perplexing coin listing rules of CEX, Hyperliquid adopts the Dutch auction rules. The starting price of the Dutch auction will begin above market expectations and will continuously decrease until the first acceptance of that price is made. The project side competes for the coin listing rights on Hyperliquid through the auction format. This Dutch auction listing mechanism has many benefits.
First, the auction price of Tickers will continue to rise. For example, after SOLV was sold for 128,000 USD, the next auction will start at a price higher than 128,000 USD. This is because if the auction starts below the previous price, it is likely to be sold immediately, thus incentivizing the starting price to continuously rise.
Hyperliquid coin auction history
The fact is indeed true. After the transaction of SOLV at 128,000 USD, there was a subsequent auction price of 180,000 USD for FARM, and recently, MON was sold for a sky-high price of 480,000 USD. The auction prices and the market value trends of HYPE have both quadrupled in just 10 days, reaching new highs one after another.
Secondly, this auction mechanism will filter out higher-quality projects. The project side will enhance the listing effect significantly to recover the listing costs.
The latest auction tokens, such as SOVRN and MON, are worth noting that these tokens were not initially launched on Hyperliquid but had pools on other chains. After the auction of SOVRN was completed at 10 AM on December 14, its price increased by over 100%. Coincidentally, MON also saw a 50% increase after its coin auction was completed at 2 PM on December 15.
SOVRN and MON both saw significant price increases after the auction.
With the market's purchasing power bustling in, how should we step to the table?
What gameplay should you understand to stay at the table?
Dealing cards: Preparations before entering
First, before the troops move, the supplies must be ready. If you are a newcomer, you need to register an account and familiarize yourself with Hyperliquid's trading mechanism.
Register an account
After entering the Hyperliquid official website, click 'connect' to link your wallet. Then click 'Portfolio' and then 'Deposit', switching your wallet to the Arbitrum chain and depositing USDT/USDC into Hyperliquid. Note that a small amount of ETH is needed for GAS.
Conducting transactions
After registering and depositing, you can start trading. The main trading assets on Hyperliquid are divided into 'Perp' (contracts) and 'Spot' (spot), with spot further selectable into 'Strict' and 'All'. The Strict type of spot mainly includes blue-chip assets in the Hyperliquid ecosystem, such as PURR, JEFF, HFUN, CATBAL, etc. It is worth noting that GCR also purchased these core assets.
GCR address purchases of Hyper ecosystem blue-chip assets
If you are degenerate enough, you can also participate in Hyperliquid's HLP. HLP allows all users to participate by providing liquidity for all assets listed on the exchange by depositing USDC. Participants can earn part of the transaction fee revenue and profit through market-making strategies in the HLP market.
View tokens
In addition to the already surging blue-chip assets, a significant wealth creation myth of Hyperliquid comes from its coin listing effect. Readers can learn about the detailed auction process through Hyperliquid's official auction website and keep up with the latest auction dynamics through the Hyperliquid blockchain explorer introduced later.
Bidding: How to participate efficiently
Secondly, if you want to do a good job, you must first sharpen your tools. Just as playing Sol meme cannot do without GMGN, unlocking various gameplay in the Hyperliquid ecosystem also requires a series of tools.
Analyzing investment research
Before participating in trading in the Hyperliquid ecosystem, efficient investment research analysis is essential.
ASXN: ASXN is a data dashboard for the Hyperliquid ecosystem, similar to Dune in Hyperliquid. You can use ASXN to query related data, such as the ticker and price of recently auctioned tokens, trading volume ratios, and more. After opening the website, the collection of Hyperliquid's data dashboards will appear in the lower left corner.
At the same time, ASXN's official Twitter account @asxn_r will continuously update some key data regarding the Hyperliquid ecosystem. If you don't want to use ASXN directly to painstakingly dig for information, you can also follow their official Twitter. I personally think ASXN's UI is very well done and comfortable to use.
Image source: ASXN
Velo: Velo is also a data visualization dashboard website, but it can be used to query other data and is not a dedicated Hyperliquid-related data site. I often use it to compare the differences between Hyperliquid and CEX data.
Image source: Velo
Hyperdash: Hyperdash is a trading analysis dashboard. Users can track high win-rate or yield trading addresses in Hyperliquid through Hyperdash, which represents the smart money on Hyperliquid.
Image source: Hyperdash
HypurrScan: HypurrScan is the Layer1 block explorer on Hyperliquid, allowing users to query all first-hand data related to Hyperliquid.
Image source: Hypurrscan
Trading Bot
After conducting thorough investment research, we can begin to charge ahead!
Hypurr Fun Bot: Hypurr Fun Bot is specifically designed for trading in the Hyperliquid ecosystem. There are also internal and external markets within the Hyperliquid ecosystem. The tokens we can currently trade directly on Hyperliquid are from the external market, and external market token listings require bidding to compete for listing rights. Many tokens that are not directly listed on Hyperliquid can be traded through the internal market. Users only need to recharge USDC from their Hyper account into the bot, and the usage method is similar to that of the pump series bots.
However, it should be noted that the auction prices for external markets on Hyperliquid are currently ridiculously high, with the most recent auction reaching as high as 480,000 USD. The difficulty of listing internal market tokens will sharply increase, and risks must be considered when pushing for internal market listings.
Image source: Hypurr Fun Bot
Hypercopy: Hypercopy is a copy trading bot in Hyperliquid, allowing users to input the addresses of top traders to choose to follow specific smart money.
Image source: Hypercopy
PVP BOT: PVP BOT is a trading bot for the Hyper ecosystem on Telegram. After entering the Telegram group, it will synchronize member trades in real-time and allow for pvp battles within the group.
Information dynamics
Hyperliquid News: If you want to keep up with the latest Hyperliquid information, such as the latest auction prices, timely coin listing information, and quickly track ecosystem trends, following @HyperliquidNews is your best choice. This Twitter channel will promptly push any information related to the Hyperliquid ecosystem, which can be understood as Hyper's Blockbeats!
Following the game: Subsequent gameplay in the Hyper ecosystem
Finally, focusing on the present and looking to the future. The spot prices on Hyperliquid have already soared, with core Hyper series assets such as HYPE reaching a market capitalization of 8 billion, PURR approaching 400 million, and HFUN also reaching 250 million. If you feel that even based on Layer 1 valuations, the space for entering the market will be relatively limited, we can choose to focus on the fish body instead of the fish head.
The opportunity for Hyperliquid's fish body lies in the upcoming launch of 'HyperEVM'. Hyperliquid's technical architecture is quite unique, consisting of two chains: Hyperliquid L1 and HyperEVM (EVM). These two chains exist as a unified state under the same consensus mechanism (HyperBFT) but operate in independent execution environments. Hyperliquid L1 is a permissioned chain specifically designed for high-performance trading, such as perpetual contracts and spot order books. All high TPS native components can be realized through L1. HyperEVM is an EVM-compatible chain that supports commonly used Ethereum tools and enables developers to deploy smart contracts. Smart contracts deployed on HyperEVM can directly access perpetual contracts and spot contracts on L1, but the specific launch time has not yet been determined.
Hyperliquid technical architecture diagram, image from the internet
Once HyperEVM goes live, Hyperliquid will no longer follow the current PerpDEX logic but will be 'applications + trading platform'. At that time, various EVM applications and ecosystems will blossom, and new financial gameplay generated around perp and HLP will inevitably continue to emerge. Below are some ecosystem projects summarized by the author:
HyperSwap: A DEX natively for Hyperliquid EVM, which has now launched its testnet.
Kinetiq: An LSD project that provides liquidity staking support for Hyperliquid.
HyperLendX: This project is the first lending platform on Hyperliquid, now live on testnet.
Keiko Finance: A permissionless lending protocol with dynamic interest rates and liquidation ratios.
HyBridge: A cross-chain application of HyperLiquid that can quickly and seamlessly bridge EVM and SOL networks. (Note that this project name does not have 'per')
Hyperliquid Names: Hyperliquid ecosystem domain name project.
Felix Protocol: A stablecoin project in the Hyperliquid ecosystem that allows borrowing feUSD with HYPE and mainstream assets as collateral.
Vegas GamebleFi: The first GamebleFi project that combines utility and gameplay using a fairness proof system.
Due to space limitations, readers can refer to the more detailed Hyperliquid tools and ecosystem panorama organized below for a deeper study.
Hyperliquid ecosystem panorama, image from the internet
In the midst of FOMO, how to manage risks effectively?
Although the Hyperliquid ecosystem is developing rapidly, racing to 'catch SUI and surpass SOL', there are also some potential risks. For example, centralization risk, commonly referred to as 'server chain'. According to ASXN data, there are currently 76 validators in Hyperliquid, of which only 23 are active, and the orderers are relatively centralized; however, this issue will gradually improve in the future. At the same time, HYPE has low circulation and high FDV. Currently, HYPE's circulating market cap has reached about 9 billion USD, while FDV has reached about 27 billion USD.
Despite this, rather than picking up the momentum of new currencies that are continuously launched, it is better to give yourself a chance to embrace the new ecosystem.
