Hyperliquid Defies the Crypto Downtrend – Could HYPE Overtake Solana?

Major coins like Ethereum (ETH), Solana (SOL) and Sui (SUI) might be down sharply from recent highs, but Hyperliquid (HYPE) continues to defy the crypto downtrend as its ecosystem enjoys sharp growth.

Hyperliquid was last changing hands around $26 per coin, up nearly 9x since its late-November launch.

Over the same time period, ETH is down around 25% and Solana is down around 20%.

HYPE is the native token of HyperEVM, the innovative layer-1 blockchain that now underpins the Hyperliquid trading protocol.

Whilst some are surprised by HYPE’s resilience despite the struggles of the broader crypto market, they shouldn’t be.

Since launching its layer-1 blockchain, Hyperliquid has seen a surge of adoption and usage. Per Messari, Hyperliquid’s trading volumes have surged more than 4x.

HYPE was also the largest crypto airdrop in history and the coin has gained widespread praise for its community (rather than VC) first allocation.

One analyst on X noted that HYPE is allocated 69.9% to the community, compared to an average of 36.1% for other networks.

A community-first allocation has likely directly contributed to Hyperliquid’s ground-up adoption, and its growth prospects moving forward look good.

Where Next for Hyperliquid?

As HYPE crawls higher to probe for a retest of its late-January highs, traders are wondering where the crypto might be headed next.

HYPE continues to trade to the north of key short-term moving averages and in a modest uptrend.

Macro tailwinds ( such as this week’s hot US inflation data ) continue to keep the broader market in check, but the Hyperliquid price could very well test $28 soon and mount a renewed push toward record high above $35.

However, its next major surge may have to wait until broader alt-coin market conditions improve.

Tight US financial conditions (US 10-year yields remain elevated around 4.5%) suggest a massive surge like that of 2017 or 2021 is unlikely this year.

However, financial conditions aside, there are a lot of bullish events happening for crypto right now as the Trump administration implements its pro-crypto policies.

A bitcoin strategic reserve could be coming, as well as a swathe of pro-crypto market legislation that could inject massive liquidity and demand into the space.

And as an already established leader, the Hyperliquid price could be set to surge.

Its fully diluted valuation of just under $26 billion suggests plenty of room for further upside in the coming years, even if 2025 is a bit of a grind.

Could Hyperliquid Overtake Solana?

Recent price outperformance has some analysts wondering whether HYPE might someday be able to overtake Solana.

After all, the main Solana use case has been for (meme coin) trading, and Hyperliquid is arguably a far superior trading platform.

However, while HYPE has shown promising growth with its innovative approach to blockchain technology and community engagement, it still lacks the established developer ecosystem and institutional support that Solana enjoys.

Furthermore, even though HYPE might capture significant market interest, Solana’s lead in transaction speed, lower costs, and existing network effects create a high barrier for HYPE to surpass it in market dominance.

Best Wallet – A Better Alternative to Consider?

Hyperliquid has massive upside potential in the years ahead, but for those looking for even faster gains, and exciting new project called Best Wallet (BEST) could be an even better bet.

With over $9 million already raised in just a few months, Best Wallet’s presale is off to a flying start.

That strong momentum should come as no surprise given that Best Wallet non-custodial wallet has already amassed over 250,000 users.

Best Wallet is a non-custodial, multi-chain wallet that stands out with its no-KYC policy and integrated features like in-wallet swaps and access to exclusive presales.

Its current growth rate puts the wallet on track to capture over 40% of the $11 billion non-custodial wallet market by 2026.

Just as strong ground-up adoption drove 10x gains for HYPE in recent months, the BEST token launch could be a similar success.

To learn more about BEST wallet, and why it could be the best crypto to buy now, follow it’s official X page , Telegram , or visit its website .

Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.