For two months, the largest traders on Hyperliquid have been building a long position in bitcoin, and the price chart is starting to reflect this trend. According to Glassnode data, the whale positioning on Hyperliquid, a blockchain-based perpetual futures exchange, shifted from net short to net long in early March and has remained long ever since, with the long bias gaining momentum in April.
This shift coincides with bitcoin's gradual rise from the mid-$60,000s in February to nearly $80,000 earlier this week. Hyperliquid has become the go-to platform for large traders over the past year, and a sustained long bias from this group tends to precede spot bitcoin price movements by several days to weeks.
The switch to net long in early March preceded the recovery from the mid-$60,000s, and the current positioning is the most aggressively long on record. Meanwhile, bitcoin perpetual swap funding across major exchanges remains at -0.13% on a seven-day basis, according to Coinglass, indicating that shorts are paying longs to maintain their positions.
This negative funding has persisted for approximately 47 consecutive days, one of the longest stretches of bearish derivatives positioning on record. The combination of sustained negative funding and aggressive long positioning from Hyperliquid whales creates a technical setup that can lead to short squeezes when spot prices break higher. In other news, the S&P 500 closed at a record high on Friday, marking its longest weekly advance since 2024.
The weekend's talks between Iran and the US were canceled, and Treasury yields dropped after the Justice Department closed its probe into Federal Reserve Chair Jerome Powell, potentially paving the way for Kevin Warsh's confirmation as the next Fed leader. The impact of these developments on Hyperliquid's long positions will become clearer in the coming hours and days.