The Hyperliquid token (HYPE) experienced a noteworthy price correction as its trading volume plummeted. Following a significant dip to $12.10, the token’s market cap has fallen from over $9.7 billion in December to $4.43 billion, marking a concerning trend. 1. This decline in volume can be attributed to bearish sentiment across the crypto market and a drop in trading activity on decentralized platforms. Decentralized exchanges (DEX) processing volumes across various platforms fell in March compared to previous months, mirroring Bitcoin’s price movements and suggesting a correlation between market downturn and exchange performance. 2. The recent drop comes amidst scrutiny regarding Hyperliquid’s handling of the controversial meme coin JELLY. A trader incurred significant losses following their risky trades on the token, ultimately leading to its delisting by the platform. 3. Despite the initial losses, HYPE is displaying signs of recovery, forming a double-bottom pattern on the four-hour chart, which signifies potential bullish momentum and a possible price surge toward $17.26. While the future remains uncertain, these developments suggest a complex interplay between market sentiment, trading activity, and the platform’s response to recent events.