‘Quite sticky’ – What HIP-3 60% user retention means for Hyperliquid

Hyperliquid traders increasingly prefer non-crypto assets (HIP-3) such as oil, gold, and silver over crypto assets like Bitcoin.

According to recent data, HIP-3 has a massive sticky base, with 64% user retention, compared to only 27% for crypto assets.

Crypto analyst Keisan cited crypto’s extreme volatility and friendly ‘perps’ leverage compared to Options contracts as some of the main drivers of ‘sticky’ HIP-3 user activity.

Traditional assets are more pleasant to trade than crypto, which suffers from extreme volatility, market manipulation, and scam tokens.

He added that a sticky user base would lead to deeper liquidity and more tradeable assets. Eventually, this leads to more trading activity and HYPE buyback, which indirectly boosts the altcoin’s value.

HIP-3 volumes explode

The ability to trade different assets (traditional and crypto) on a single unified platform 24/7 made Hyperliquid one of the winners of the West Asia crisis.

Last week, HIP-3 accounted for 33% ($15.1 billion) of overall Hyperliquid trading volume. It was second only to Bitcoin, which saw $18.4 billion (40%).

On a year-to-date (YTD) basis, the dominance of HIP-3 or RWA (real-world tokenization) increased from 5% to over 30% – Underscoring strong adoption and momentum.

In fact, according to BitMEX Exchange founder Arthur Hayes, HIP-3 now drives nearly 10% of the overall fees collected on the platform.

According to Hayes, the massive adoption of Hyperliquid as a cross-asset trading platform would likely lift HYPE to $150.

Can HYPE bulls reclaim $50?

Interestingly, HYPE’s upward momentum has improved during the Iran crisis. Since it began, HYPE has rallied by 57% from $26 to $41.

When measured from the January low of $20, HYPE has doubled or rallied by 100%. So, one may say the platform and the altcoin became the biggest winners of the entire episode.

However, Coinbase research analyst Colin Basco, although bullish on the altcoin, believes that $42 as a key resistance must be cleared for a sustained rally. Should this immediate roadblock be cleared, the next levels to watch would be $46 and the $50-psychological level.

Final Summary

• Hyperliquid’s HIP-3 segment now has a relatively stronger and stickier user base with over 60% trader retention compared to normal crypto traders.
• Coinbase analyst believes that an extended rally to $50 is possible, but bulls must clear $42 and $46 resistance levels first.