1. 1.8 million empty positions forced into a corner—$83.33 trigger point is getting closer

2. Loreal’s tens of millions of dollars in losses have already been cleared, but guess what? The latest data shows that his other massive short position is still not closed—currently holding on for dear life around $83.

3. As of the evening of May 22, the trader still holds about 1.8 million HYPE short positions. The position value is worth more than $100 million, and losses are still expanding. The latest forced liquidation price for his 5x leveraged short has been pushed up to $83.33. By May 23, this floating loss has grown further to over $26.5 million, and the liquidation price remains about $12 higher than the latest market price.

4. What does this mean? It means that as long as HYPE keeps rising to around $83.33, this long position with a nominal value of over $100 million will be forcibly liquidated—triggering a new round of liquidation cascade reactions. At the moment, this whale has deposited about 616,000 HYPE (about $36.7 million) into Hyperliquid to add margin, but the existing margin level is still not enough to support the price continuing to rise.

5. What’s the connection to geopolitical risk? It’s direct: when market liquidity is abundant and institutional ETF inflows keep coming, HYPE’s upward momentum will be amplified by inertia, ultimately “triggering” the ace card that’s waiting to be liquidated. But note—this highly concentrated leverage also means volatility could jump at any time. Once the short-squeeze phase is over, chasing gains at the top with a full position could face a double-sided squeeze as well.

6. Coming back to the second question: are you going long or going short?

7. My thinking is very clear: I won’t short under such a severely crowded position structure, but I also won’t chase new longs at high levels. If I currently hold a long position in HYPE, I’ll reduce exposure around $83 to lock in part of the profits, rather than betting all the way to the very last moment like those shorts do. This is the deepest lesson I’ve learned after going through multiple liquidation cycles: don’t be the one who watches the forced liquidation red line get closer and closer—while doing nothing.
#HYPE再度领涨
$HYPE ‌