A recent report from Block Scholes shows that trading volume for Bitcoin and Ethereum perpetual contracts on Hyperliquid has fallen to multi-quarter lows, but speculative trading on the platform has not cooled down accordingly. More trading is shifting to perpetual contracts related to US stock indices, crude oil, and unlisted companies, with pre-IPO products showing particularly significant growth.
Trading volume weakened for both BTC and ETH.
The report states that daily trading volume for Bitcoin perpetual contracts on Hyperliquid is currently hovering around $2 billion, while Ethereum trading is around $600 million to $700 million, both at relatively low levels compared to recent quarters. Block Scholes believes this change coincides with the recent weakening of mainstream crypto asset prices.
The agency noted that its internally compiled Bitcoin and Ethereum risk appetite index continued to decline over the past week, reflecting weakening trading sentiment. Meanwhile, the US spot Bitcoin ETF also experienced its longest period of outflows since its inception.
Stock and crude oil contracts saw increased trading volume
In contrast to the decline in trading volume of mainstream cryptocurrencies, trading in contracts linked to traditional markets on Hyperliquid has increased significantly. The report indicates that the three most active types of non-crypto perpetual contracts on the platform are XYZ100, which tracks the Nasdaq 100 index; S&P 500, which is linked to the S&P 500; and CL, which is linked to WTI crude oil.
The combined daily trading volume of these three types of contracts has risen to approximately $1.3 billion, with a nominal trading volume of $27.1 billion over the past month. According to Block Scholes, this figure is equivalent to approximately 112% of Ethereum's perpetual trading volume during the same period, and also approximately 38% of Bitcoin's perpetual trading volume.
The report argues that this does not mean funds are being withdrawn from Bitcoin and Ethereum on a one-to-one basis, but rather that within the same trading venue, traders' attention and short-term positions are shifting to other more active assets.
SpaceX-related contracts are the most active.
Aside from stock indices and commodities, pre-IPO perpetual contracts have become one of the fastest-growing sectors recently. The report shows that the proportion of these contracts relative to Ethereum perpetual trading volume has risen from approximately 0.1% to nearly 3% in recent weeks.
The corresponding daily trading volume rose from less than $5 million to over $50 million, with contracts linked to SpaceX contributing the majority of the increase. Block Scholes stated that this surge in volume was concentrated in late May and early June, while BTC and ETH trading remained relatively quiet during the same period.
The report also noted that among major crypto assets, Hyperliquid's platform token HYPE is one of the few assets whose risk appetite indicators are still rising, indicating that speculative fervor within the platform has not completely subsided, but rather has been redistributed among different trading instruments.
Additional information:Binance Research previously noted that recently, US stock market funds have been flowing more concentrated into sectors such as AI infrastructure, semiconductors, defense, energy, and commodities. When market hotspots are concentrated, alternative assets such as Bitcoin often find it more difficult to obtain new liquidity.
