Hyperliquid has emerged as the dominant force in the on-chain perpetual futures market, capturing an estimated 70% of the sector’s total market share in recent weeks. The decentralized trading protocol reported $175 billion in trading volume in March and $83 billion by mid-April, underscoring a significant shift in trader preference toward decentralized derivatives platforms. Hyperliquid’s volume now represents nearly 10% of the trading activity seen on centralized exchanges, marking a notable trend in market migration.
Perpetual futures, commonly referred to as “perps,” are derivative contracts that have no expiration date. Instead of settling at a fixed point, they maintain market exposure through a funding rate mechanism that transfers value between long and short positions at regular intervals. This structure enables leveraged trading without requiring full capital commitment to spot positions, making it particularly attractive to seasoned traders. The non-custodial nature of on-chain perps also mitigates risks associated with centralized exchange insolvency or settlement disruptions. Trades are executed via smart contracts, eliminating reliance on vulnerable centralized systems.
According to DeFiLlama, the total 24-hour trading volume for perpetual futures across platforms stands above $7.8 billion, with Hyperliquid alone contributing $4.765 billion. In comparison, the Solana-based decentralized exchange Jupiter holds the second-largest share with $579.02 million. Other players like ApeX Protocol, Vertex Edge, RabbitX Fusion, and GMX follow behind, maintaining smaller yet significant volumes.
Hyperliquid’s rapid ascent has shifted the competitive landscape, solidifying its position while pushing smaller rivals into more stable but lower tiers. This growing market concentration mirrors broader trends in maturing financial sectors, where top platforms consolidate liquidity and foster deeper user engagement. Since April 2024, Hyperliquid has shown a consistent upward trajectory, with its emphasis on reliability and risk management resonating with an increasing number of traders.
The protocol’s rise is mirrored in the performance of its native token, HYPE. Currently trading at $16.68, HYPE has seen a 1.23% increase over the past 24 hours, with weekly and monthly gains reaching 9.67% and 11.41%, respectively. Its market capitalization stands at $5.58 billion, and its 24-hour trading volume has jumped more than 17%. Earlier this month, the token climbed 8% in a single day, spurred by a 47% surge in trading volume. Market forecasts suggest HYPE could climb to between $18.485 and $27.340 in the near future, though downside projections indicate a possible dip to $8.834.
With both strong protocol performance and positive token momentum, Hyperliquid is positioning itself at the forefront of decentralized derivatives trading. Its continued growth is being closely tracked by leading analytics platforms such as The Block and DeFiLlama.
Related topics:
How To Trade Perpetual Futures?
