OVERVIEW

So, That Sucks 🤷

Here’s What’s Happening 👇️

Today’s top trending tickers: Bitcoin, Ethereum, Zoracles, Hyperliquid, and Zebec Network

Biggest winners: $ZEC ( ▲ 1.73% ) , $ONDO ( ▲ 13.28% ) , $ENA ( ▲ 18.82% ) , $H ( ▼ 9.49% ) , and $QNT ( ▼ 1.4% )  

Biggest losers: $FET ( ▲ 5.19% ) , $XLM ( ▼ 3.55% ) , $APT ( ▼ 2.93% ) , $TON ( ▼ 1.12% ) , and $PUMP ( ▲ 7.16% )

Before we dive in, here’s today’s crypto crypto’s total market and altcoin market cap charts:

Click to enlarge.

NEWS
BTC Dominance Chart 💪

While today’s newsletter is a look at one of crypto’s biggest, brightest, and fastest growing players, Hyperliquid, we need to look at this chart before we get into the nitty gritty of HYPE.

Bitcoin Dominance Weekly Chart – Click to enlarge.

As a quick refresher, the Bitcoin Dominance chart represents the share of the entire crypto market made up by Bitcoin. As of writing this, it’s at 58.54%. And it’s setting up for an Ideal Bearish Ichimoku Breakout and a breakout below a bear flag. If this was a pattern I’d call it the ‘I Got Pushed Into The Elevator Shaft’ Pattern.

Anyway.

So why pay attention to it? Well, because there used to be this thing called ‘Alt Season’ and ‘Alt Season’ is a period when altcoins go absolutely nuts and rally like crazy. Depending on how you measure it, Alt Season has occurred between once and three times in crypto’s history.

But one of the conditions of a true Alt Season is a weakening Bitcoin Dominance chart. Now, that doesn’t mean that Bitcoin itself is weakening, no. What it means is the altcoin market, as an aggregate, is doing better than Bitcoin.

Now before you jump up for joy, let me throw some chill out water in your face. Ideally, a BTC Dominance chart collapsing is a good thing for altcoins. Because in one scenario, BTC is flat or trending slightly higher but altcoins are moving higher, but higher like a squirrel who discovered an opened ziploc baggie full of something that isn’t powdered sugar or baking soda.

The other scenario is one where Bitcoin is tanking along with the rest of the crypto market – but instead of altcoins being down -17% and Bitcoin down -8%, it’s the opposite. In that scenario everything is sucking, but altcoins are just sucking less than Bitcoin.

Which is what’s happening today. The Total Crypto Market Cap as of 1530 EST is down -5%, but the Total Crypto Market Cap Excluding BTC is down only -3%.

IN PARTNERSHIP WITH BOXABL
A Home Delivered to You. Unpacked in One Hour.

Imagine a future where we could mass produce homes like cars – one every minute. That’s the vision of BOXABL Inc. (“BOXABL”), a company with the goal of leading a homebuilding revolution with high quality, cost effective, factory-made, foldable houses that ship anywhere and unpack in one hour.

BOXABL announced plans for a potential SPAC merger with FG Merger II Corp. (“FGMC”) (NASDAQ: FGMC). After crowdfunding $230M from over 60,000 investors since 2020.

Currently trading on Nasdaq, $FGMC will be the surviving entity following the proposed merger’s closing. The combined company will then be renamed BOXABL Inc., with the anticipated ticker $BXBL.

BOXABL expects Nasdaq trading on or about June 12th. Investors holding $FGMC shares will automatically convert to $BXBL upon closing.

FGMC on Yahoo Finance

Read the proxy statement/prospectus and other SEC filings at ir.boxabl.com
Investing in a SPAC can introduce unique risks, including but not limited to regulatory and compliance risks, liquidity risks, structure and complexity
Review the latest filings https://www.sec.gov/edgar/browse/?CIK=1816937

*3rd Party Ad. Not an offer or recommendation by Stocktwits. See disclosure here.

DEFI
Hyperliquid Deep Dive Part One: Man Who 1000x’d His Life Savings Decides Next Step Is To Work Much Harder 🧠

There is a DEX (decentralized exchange) that did nearly $3 trillion in volume last year and $843 million in revenue. It was built by a team you could seat at one dinner table, and it took no venture money.

$HYPE ( ▲ 3.12% ) was started in 2022 by Jeff Yan, a Harvard math-and-CS grad who put in time at Hudson River Trading before going out on his own. At the end of 2019 he moved to Puerto Rico and started a crypto market-making firm called Chameleon Trading with $10,000 of his own savings. For two and a half years it compounded at thousands of percent a year.

Now, here’s the question that tells you who you’re dealing with. You’re not yet 30, you’ve turned ten grand into a fortune, and you’re holding the screaming “never work again” exit most traders pray for and never get. So what do you do – run it back? Buy the yacht? Disappear into a beach somewhere and let the money work?

Nope.

I Want To Build A DEX All By Myself

Yan decided to build his own perpetual futures exchange from scratch, with his own cash. The trigger was FTX collapsing in late 2022. Yan’s answer was a venue where every position sits on-chain for anyone to audit, the house’s own market-making vault included.

He built it with a co-founder known publicly only as iliensinc and a core team that has never grown past roughly eleven people. Eleven. 11.

Also: there was no VC raise, and there are no insider allocations (that we know of). Yan self-funded the whole thing out of Chameleon’s profits and has been rumored to wave off offers valuing the project in the billions.

Anyway, the HYPE token launched November 29, 2024, and the genesis airdrop handed 31% of supply – 310 million tokens – to about 94,000 users, with nothing carved out for private investors. It was the largest airdrop in crypto history at the time.

Oh, and roughly 97% of trading fees route to an Assistance Fund that buys HYPE back on the open market, which turns the platform’s revenue into a permanent bid under its own token.

For an eleven-ish person shop, the 2025 scoreboard reads like a misprint:

• $2.95 trillion in trading volume

• $843 million in revenue, on $908 million in fees

• 609,700 new users

• A team that booked over $900 million in profit – among the most profitable companies per employee on the planet, even more than Steam (if anyone from Steam reads this, when can I get my new Steam controller? kk thnx).

DEFI
Hyperliquid Deep Dive Part Two: Successfully Stress-Tested By One Guy With No Concept Of Risk Management 🤦

I am convinced that if it wasn’t for one trader, we might not even be talking about Hyperliquid today. It’s almost impossible to not talk about the character known as James Wynn.

Wynn got famous by turning $7,600 of $PEPE ( ▼ 0.57% )  into about $25 million and mistaking a lottery ticket for a skill. He rolled onto Hyperliquid in March 2025 with $4.65 million and, for two glorious months, looked like a savant: $25M on PEPE, $16.9M on a BTC long, $6.8M on TRUMP.

Hold on, this insane story is just getting started.

Also, to touch on every single one of Wynn’s mind-boggling paper-profits and uber-liquidations would require a whole newsletter (or two), so this isn’t even the full story of Wynn’s activities.

Looks Like A Top

Click to enlarge.

On May 19 (2025) Wynn stopped trading and instead did something that can only be explained by pulling Tony Montana or drinking a 12-pack of Celsius in an hour – a 40x BTC long that ballooned to $1.269 billion in notional (11,588 BTC), one of the largest public positions crypto has ever seen.

Around this time, his account was worth somewhere around $84 to 90 million. That’s generational, buy-the-island, fire-your-boss, doesn’t-buy-happiness-but-you-have-so-much-you-are-beating-off-happiness-with-a-stick money. All held together by a margin buffer thinner than the pixels it was displayed on.

Well, That Sucks

His entire bet was that BTC would moon at its own Las Vegas conference. Instead, BTC slid under $105,000, and a 40x position has the structural integrity of a soap bubble in a knife drawer popped.

Eight days later his account had gone from $90 million to $23 – not twenty-three million, twenty-three dollars – and he updated his X bio to a single word: “broke.”

Well, That Sucks Even More

Wynn came back. And back. And back again. Nine liquidations in July, a triumphant October return “with a vengeance,” and at one point twelve liquidations in twelve hours.

Twitter tweet

By April 2026 his flagship wallet had logged roughly 200 liquidations, carried an all-time loss north of $20 million, and held a balance of about $914.bar while ordering one more round.

But Here’s My Point

Wynn’s Netflix Special of bad decisions was a spectacle picked up by nearly every major crypto outlet and social account out there. Almost every on-chain analytics firm was posting some version of ‘Wynn Wallet On HYPE Up 444%’ or ‘Trader on Hyperliquid liquidated for millions’.

The point is, while millions of people were entertained (or horrified) by Wynn’s antics, nearly every post and comment included the exchange this activity was happening on: Hyperliquid.

And people started to as questions: How big is the thing he was trading on? How liquid is it? Where is it?

DEFI
Hyperliquid Deep Dive Part Three: TradFi Has Some Concerns 😶

If you only read headlines, Hyperliquid’s dominance looks fragile. Its share of perp-DEX volume has whipped around – north of 70% in mid-2025, into single digits in September, then back to the low-to-mid 30s, touching 44ish% in 2026.

Volume for DEXs is kind of a ‘meh’ number. Open interest (OI), though, that’s a different story. For open interest, Hyperliquid owns the room – over 70% of decentralized-perp OI, with total OI around $9.5 billion in late May 2026.

Now stack it against the regulated world, which is where my old commodity-desk instincts start twitching:

• Hyperliquid’s $9.5B in OI now exceeds the CME’s BTC futures open interest outright

• It’s within range of the CME’s entire regulated crypto complex, which topped out near $39 billion in notional OI last September and averaged $31.3 billion in Q3 2025

• The CME ran $3 trillion in notional crypto volume in 2025 – Hyperliquid ran nearly that in total volume with eleven employees and no clearinghouse

The Derivative OGs Are Not A Fan

It’s tempting to file this under new-DeFi-versus-dinosaur-TradFi or TradFi = Evil, DeFi = Good and move on. Don’t. Strip away the turf-protection (and there is some) and the regulated exchanges are making a real investor- and market-integrity case, worth taking seriously even if you love what Hyperliquid built.

Thin liquidity is a real trap: In late May, Hyperliquid’s SpaceX-valuation perp flash-crashed and wiped $1.5ish million in 30 minutes because one outsized order drained the book. Position limits, circuit breakers, and market-maker obligations exist on regulated venues to stop exactly that.

Somebody has to be the backstop: A regulated future clears through a central counterparty with a guaranty fund that contains the damage when a participant defaults. Hyperliquid instead spreads that risk across its HLP vault and auto-deleveraging that can close your winning position to cover someone else’s loss – and that kind of stuff happened back in October 2025.

Surveillance, benchmarks, and KYC: Regulated markets police spoofing and manipulation and report to the CFTC; an anonymous venue doesn’t. And no KYC means real sanctions exposure, hardly hypothetical given the Lazarus-linked wallets documented trading there in 2024.

The level-playing-field point is fair, too: Compliance costs exist to hold the system together; doing the same job offshore without them is arbitrage, and when price discovery goes opaque, regulators lose the visibility meant to catch the next blowup. We’ve seen what opacity does – FTX, 2008.

None of this makes Hyperliquid the villain. Its on-chain transparency is real, more than most exchanges offer, and it’s engaged the CFTC directly. A thing can be real innovation and real hazard at once.

Get In Touch 📬

Email me, Jonathan Morgan, feedback; I’d love to hear from you. 📧
Follow me on Stocktwits 🫂 And Sponsor this newsletter 😎 

Terms & Conditions 📝

Securities Disclaimer: STOCKTWITS IS NOT A TAX ADVISOR, BROKER, FINANCIAL ADVISOR OR INVESTMENT ADVISOR. THE SERVICE IS NOT INTENDED TO PROVIDE TAX, LEGAL, FINANCIAL OR INVESTMENT ADVICE, AND NOTHING ON THE SERVICE SHOULD BE CONSTRUED AS AN OFFER TO SELL, A SOLICITATION OF AN OFFER TO BUY, OR A RECOMMENDATION FOR ANY SECURITY. Trading in such securities can result in immediate and substantial losses of the capital invested. You should only invest risk capital, and not capital required for other purposes. You alone are solely responsible for determining whether any investment, security or strategy, or any other product or service, is appropriate or suitable for you based on your investment objectives and personal and financial situation. You should also consult an attorney or tax professional regarding your specific legal or tax situation. The Content is to be used for informational and entertainment purposes only and the Service does not provide investment advice for any individual. Stocktwits, its affiliates and partners specifically disclaim any and all liability or loss arising out of any action taken in reliance on Content, including but not limited to market value or other loss on the sale or purchase of any company, property, product, service, security, instrument, or any other matter. You understand that an investment in any security is subject to a number of risks, and that discussions of any security published on the Service will not contain a list or description of relevant risk factors. In addition, please note that some of the stocks about which Content is published on the Service have a low market capitalization and/or insufficient public float. Such stocks are subject to more risk than stocks of larger companies, including greater volatility, lower liquidity and less publicly available information. Read the full terms & conditions here. 🔍

Author Disclosure: The author of this newsletter holds positions in AVAX, ADA, PUDGY, WLD, NEAR, INJ, LTC, LINK, ZEC, XLM, and FET. 📋