According to @ThinkingUSD, the HYPE token experiences increased volatility due to a large portion of its airdrop being held by unprofitable perpetual contract traders who sell their tokens for margin to continue trading. This selling pressure is expected to decrease once the current holder base is cycled out, potentially leading to greater resilience in the token's price.

According to Flood (@ThinkingUSD), traders should not confuse short-term volatility with long-term trends, particularly emphasizing that shorting Hype may lead to significant losses. Flood's warning suggests that Hype Token could have strong underlying fundamentals or market sentiment that may not be immediately apparent in its price movements.