Hyperliquid rose more than 6% in Asian trading on Friday, with HYPE reaching roughly $29.23 after the project announced a new policy initiative in Washington. The move followed weeks of weakness that had kept the token under selling pressure, even as the wider crypto market was still struggling to regain stability.
Policy center opens in Washington with 1 million HYPE commitment
The exchange said it has launched the Hyperliquid Policy Center, a nonprofit focused on regulatory clarity for DeFi and on-chain derivatives. Hyper Foundation also committed 1 million HYPE to fund the initiative, valued at about $29 million based on the figures cited in the report. That places Hyperliquid among a small group of decentralized platforms taking a direct role in policy engagement in the United States.
Traders reacted quickly once the announcement reached the market, sending the token higher. Even so, the rally remained constrained, with technical resistance still limiting upside.
TVL and weekly revenue point to softer network activity
While the policy announcement improved visibility, on-chain metrics have weakened in recent weeks. Data from DeFiLlama shows Hyperliquid’s total value locked fell from $4.7 billion to $4.2 billion. Weekly protocol revenue has also dropped 55% to $11.83 million since early February, a sign of slower activity across the ecosystem.
The contrast is clear. Market sentiment improved after the Washington launch, but network usage and revenue have yet to show the same recovery.
March 6 unlock could increase short-term supply
Attention is also on a scheduled token unlock set for March 6. The event will release 9.92 million HYPE worth about $291 million, equal to 2.72% of the circulating supply. Large unlocks often add near-term supply to the market, and traders are watching whether that will weigh on price action.
On the daily chart, HYPE is still trading below a descending trendline that has capped rebounds since early February. The token also remains more than 25% below its yearly high of $37.84. The Aroon indicator continues to show strong downward pressure, while the RSI stays below neutral, pointing to weak momentum.
Support is currently seen near $28, matching the 38.2% Fibonacci retracement level. If buyers hold that area, the recent rebound may stay intact. If the level breaks, the next notable technical support is around $21.