Hyperliquid Faces Disruption Amid Traffic Surge

On July 29, the popular DEX for perpetual futures trading, Hyperliquid, experienced a brief disruption. According to the status page, a sudden surge in traffic led to issues with the API. 

“From 14:10 to 14:47 UTC, there was a delay in order transmission to nodes due to API server overload caused by a sudden traffic spike. This was not related to a hacking attack or vulnerability exploitation. The issue has been resolved, and we continue to work on improvements,” stated Hyperliquid. 

Developers promised to add additional protective mechanisms to prevent similar disruptions in the future. 

Shortly before the issue was identified, some funding rates on Hyperliquid turned negative. Traders complained that their orders were not being executed. 

This is bad, can’t close my position in @HyperliquidX . Something is wrong. Facing this for the first time. Many are facing the same issue, as seen from discord. pic.twitter.com/V592N9wUdX

— noorucn.eth (@sportytechworld) July 29, 2025

A DEX representative immediately confirmed on Discord that the team was investigating the incident. Half an hour after the initial reports, Hyperliquid resolved the issue. 

During the disruption, asset prices on the platform differed from the market by approximately $9.

The disruption also affected BasedApp, a trading application based on Hyperliquid, supported by Delphi, Hashed, and Spartan. A project representative confirmed in a comment to The Block that users were unable to place orders. At the time of writing, the service is operating normally. 

Market Reaction

According to CoinGecko, the price of HYPE has decreased by nearly 2% over the past day. At the time of writing, the token is trading at $43.32, with a 24-hour low of $42.59. 

Hyperliquid is one of the leading decentralized platforms for leveraged futures trading. It operates on its own HyperEVM blockchain, which ensures high speed and low fees.

Earlier, on July 9, the Web3 wallet Phantom launched perpetual contract trading through integration with Hyperliquid.