$17.4M to $107.2M: $HYPE Whale Prepares to Cash Out Holdings

A $HYPE whale has been in the news, since it unstaked a huge 2m of HYPE tokens which it had bought nine months prior at an average price of around 8.68 USD. The whale initially deposited 17.4 million USDC into Hyperliquid in three wallets and later divided the tokens into 9 wallets to be staked. 

The investment that was thought to have been high-risk has actually become one of the most lucrative trades in the recent months. The $17.4 million position of the whale is now at 107.2 million, which is an unrealized profit of 89.8 million.

Staking Strategy and Unstaking Move

Based on on-chain information published by Lookonchain, the whale officially applied to unstake the tokens seven days ago and was actually rewarded the tokens only 21 hours ago. This abrupt change is an indication that the whale is ready to sell off some or all the assets to make gains.

The staking plan of the whale made the tokens fixed such that short term trades could not be made. The decision to unstake at the highest possible price currently had predetermined what may be one of the most profitable exits in the entire ecosystem of Hype.

A Closer Look at the $HYPE Transactions

The wallet history of the whale has a lot of on-chain activity. The buys of $HYPE were carried out in a series of twaps (time-weighted average price) with the purchase amount varying between 8,382 to more than 23,000 tokens at any given time. These cautious purchasers kept the average price of entry at a steady average about 8.68.

This initial investment amounting to 17.4 million USDC was spread among Arbitrum and Hyperliquid but consolidated into the wallets of the whale before the purchase of $HYPE. Analysts have tracked every movement keenly, since the magnitude of such a position and its possible effect on the market trends.

Profit Potential and Market Impact

Since $HYPE is currently down to approximately $53.44, the 2 million tokens owned by the whale have now grown to be priced over $107 million. This would give a whopping $89.8 million in profit in only nine months should it be sold.

According to market observers, such a sell-off might affect the price moves of $HYPE in the short-term. 

Investor Sentiment

The action of the whale shows the increasing popularity of Hyperliquid and its native token HYPE by big investors. Retail traders are also keeping a keen eye over wallets in order to tell the upcoming market moves. There are several speculations that with this whale starting to sell, the small holders might also follow and this might cause volatility.

To date, the unstaking itself is an excellent reminder of the kind of wealth that can be acquired as a result of a fast crypto-play. This whale has a nine-month holding period and it is now in a position to achieve one of the largest single-token returns in recent times.