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Analysts from the banking conglomerate JPMorgan have indicated that the decentralized derivatives platform Hyperliquid is gaining traction amid restrictions faced by traditional trading venues.
New participants, who previously had no engagement with digital assets, are entering the cryptocurrency market. According to JPMorgan, interest is growing from both retail investors and traders from conventional markets, who are increasingly turning to decentralized platforms, including Hyperliquid.
A significant factor contributing to this trend is the ability to trade around the clock. In light of escalating tensions between the United States, Israel, and Iran, along with sharp fluctuations in oil prices, market participants have encountered limitations within the traditional infrastructure.
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JPMorgan noted that at the beginning of the month, following strikes on Iranian infrastructure, activity on Hyperliquid surged. During this period, traders on the Chicago Mercantile Exchange (CME) were unable to respond promptly to developments due to restricted trading sessions.
Consequently, the daily trading volume of oil contracts against USDC on Hyperliquid reached approximately $1.7 billion in mid-March, while open interest increased to $300 million. This uptick in activity coincided with a rise in the native token HYPE: since the start of the month, it has gained over 25% and entered the top ten largest crypto assets by market capitalization.
The bank emphasized that decentralized exchanges operate without interruptions and geographical constraints. Hyperliquid stands out for its specialization in perpetual futures, making the platform appealing to professional participants.
According to JPMorgan’s assessment, the combination of 24/7 liquidity, flexible instruments, and independence from traditional exchange infrastructure has been a crucial factor in attracting investor interest to Hyperliquid.
Previously, Arthur Hayes, co-founder of the cryptocurrency exchange BitMEX and an investor, referred to the decentralized platform Hyperliquid as a leader in the crypto industry in terms of profitability, excluding stablecoin issuers.
