For two months, the biggest traders on Hyperliquid have been accumulating long positions in bitcoin, with the price chart beginning to reflect this trend. Data from Glassnode indicates that the whale positioning on Hyperliquid, a prominent on-chain perpetual futures exchange, shifted from net short to net long in early March and has remained long since, with the long bias expanding throughout April. This shift coincides with bitcoin's gradual ascent from the mid-$60,000 range in February to nearly $80,000 earlier this week.

Historically, Hyperliquid has become the go-to on-chain platform for traders managing large positions, and a sustained long bias from this group often precedes spot bitcoin price movements by days to weeks. The early March flip to net long preceded the recovery from the mid-$60,000s, with the current positioning being the most aggressively long in the dataset. 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 bearish derivatives positioning stretches 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 rise. In other news, the S&P 500 closed at a record high on Friday, marking its longest weekly advance since 2024.

The scheduled talks between Iran and the US in Pakistan over the weekend did not take place, after President Donald Trump canceled his delegation's trip following the Iranian foreign minister's early departure. Additionally, Treasury yields dropped as the Justice Department concluded its investigation 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.