- ASTER surges 2,200% with whales accumulating $270M while Hyperliquid’s HYPE drops 25%.
- Wynn cites MEV risks and order book exposure as Hyperliquid’s technical shortcomings.
- Aster records $24B daily trading volume, surpassing Hyperliquid with $10M in daily revenue.
Hyperliquid is under growing pressure after crypto trader James Wynn claimed the platform is heading toward a slow collapse. His remarks came as the rival ASTER token soared by 2,200% in one week, while Hyperliquid’s HYPE token fell 25% over the same period. The surge has drawn whale interest and fueled debates on the competitive outlook for decentralized exchanges.
ASTER Trading Outpaces Hyperliquid
ASTER’s performance has been supported by strong metrics. According to DeFiLlama, the exchange registered $24 billion in 24-hour perpetual trading volume, more than twice the activity on Hyperliquid. Revenue generation also placed Aster ahead, with $10 million earned daily, nearly four times the figures reported by its competitor.
In response, Hyperliquid has introduced its USDH stablecoin, seeking to retain market relevance. Despite these measures, ASTER has gained visibility on BNB Chain and is now challenging established platforms across liquidity and order execution.
Wynn Points to Technical Shortcomings
Wynn’s criticism of Hyperliquid was linked to his own losses earlier this year, when he faced liquidations worth $100 million on the exchange. He said his positions were visible on the order book, leaving him exposed to MEV (maximal extractable value) attacks. Binance founder Changpeng Zhao later described the need for a “dark pool perp DEX” to counter such problems.
Aster’s design features aim to resolve these issues. The platform offers MEV-free execution, hidden orders, and dual trading interfaces, catering to both retail and professional traders. The hidden order function allows trades to be placed without disclosing order size, which Wynn highlighted as a factor absent in Hyperliquid.
Whale Accumulation Strengthens ASTER
Whale activity has increased alongside the price rally. On-chain data showed two whales acquired 118.25 million ASTER worth $270 million, equal to 7.13% of the token’s circulating supply. Separately, 15 wallets withdrew 68.25 million ASTER, valued at $156.3 million, from the Aster platform within days.
One major movement came from wallet 0xFB3B, linked to Daniel Larimer and Galaxy Digital, which removed 50 million ASTER tokens from Gate.io. These withdrawals suggest large holders are consolidating exposure during a period of heightened trading activity.
Market Outlook
Wynn stated that Zhao’s support for Aster could intensify competition. He added that the rival exchange is positioned to dominate the market, leaving Hyperliquid vulnerable. Wynn confirmed his trading stance, going long on ASTER while shorting HYPE.
While Hyperliquid remains active, its declining token value, reduced market share, and technical criticisms present challenges. Wynn concluded that “Hype will exist, but it will have a slow and painful death in my opinion.”
