After a tumultuous conclusion to 2025, characterised by heightened volatility and the impactful October 10 crypto crash, Hyperliquid (HYPE), one of many market’s largest decentralized exchanges (DEXs), confronted important challenges because it entered 2026.
With lower than two weeks remaining in January, market analysis agency GLC launched an fascinating report assessing Hyperliquid’s present standing and evaluating its restoration metrics.
Put up-October 10 Downturn
The report highlights that Hyperliquid’s buying and selling quantity and open curiosity suffered a substantial decline following the liquidation occasion on October 10, marking the onset of a downtrend for the platform.
Since that date, buying and selling quantity has decreased by 44.3%, dropping from $10.17 billion to $5.66 billion. Open curiosity has additionally skilled a decline of 35.7%, falling from $14.75 billion to $9.48 billion.
Nonetheless, there are indicators of restoration. Notably, since December 1, 2025, buying and selling quantity on the platform has seen a slight lower of three.2%, whereas open curiosity has surged by 45.6%.
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Yr-to-date metrics reveal a extra optimistic image: trading volume has elevated by 59.2%, rising from $3.56 billion to $5.66 billion, and open curiosity has grown by 24.7%, going from $7.60 billion to $9.48 billion.
Whereas open curiosity has began to recuperate because the October occasion, buying and selling quantity has not rebounded on the identical charge. This disparity has brought on the volume-to-open curiosity (OI) ratio to say no from 0.90 on December 1 to 0.60 as of mid-January, seemingly attributable to decreased market volatility, which has dampened buying and selling exercise.
Regardless of these challenges, there’s a constructive pattern indicating that merchants are starting to open bigger positions on Hyperliquid, and the restoration in quantity on a year-to-date foundation is promising.
The report means that open interest is a extra dependable indicator of dealer confidence and long-term positioning, whereas buying and selling quantity tends to be influenced by broader market situations. Though present metrics stay under pre-October 10 ranges, the pattern signifies that restoration is underway.
Will 2026 Mark A Shocking Resurgence For Hyperliquid?
The latest quantity and open curiosity knowledge are mentioned to be bullish, with the 7-day common quantity rising by over 130% year-to-date, primarily pushed by one lively deployer, XYZ, which accounts for roughly 80% of that quantity. The 7-day common open curiosity has additionally risen by greater than 60%.
Furthermore, Hyperliquid is regaining market share from centralized exchanges (CEXs) as seen within the chart under, with its open curiosity at present representing about 14.6% of Binance’s, gaining momentum towards platforms like Bybit and OKX.
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One other key issue that would additional contribute to the platform’s restoration this yr is the rollout of portfolio margin. At present stay on testnet, this characteristic will allow merchants to borrow and lend towards their collateral, unlocking quite a few new use circumstances.
Historic proof from different exchanges, corresponding to Bybit, means that introducing portfolio margin could be a important progress catalyst, probably translating to a considerable improve in buying and selling quantity for Hyperliquid.
Total, core metrics are progressively bettering, and several other catalysts lie forward, such because the rising adoption of fairness perpetuals and the introduction of portfolio margin. GLC’s report asserts:
…If bettering market situations are mixed with the catalysts outlined above, and probably one other S3 season bringing in new merchants, Hyperliquid will shock the market as soon as once more.
On the time of writing, the platform’s HYPE token is buying and selling at round $21.84. This represents a major 9% retracement inside the final 24 hours alone, inserting the altcoin 63% under its all-time excessive of $59.30.
Featured picture from OpenArt, chart from TradingView.com
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