Hyperliquid Denies Platform Flaws After XPL Hedging Sniper Attack, Plans EMA-Based Price Caps
Hyperliquid has responded to a recent XPL hedging sniper incident, stating the platform found no vulnerabilities. The team urged users to monitor their own risk exposure when trading XPL derivatives. To further bolster risk controls, Hyperliquid plans to enforce a mark price cap. Following the next network upgrade, the Hyperp mark price will be limited within a 10×8-hour EMA range. This change aims to reduce price manipulation and extreme volatility. Hyperliquid’s swift response and upcoming network upgrade reflect its commitment to platform integrity and trader protection. Traders should note the new EMA-based limit may impact XPL futures spreads. Hyperliquid continues to monitor market behavior and will implement additional safeguards as needed.
Neutral
Hyperliquid’s denial of platform flaws and introduction of EMA-based price caps are aimed at enhancing stability rather than signaling bullish or bearish sentiment. By capping the mark price within a 10×8-hour EMA range, the platform reduces manipulation risk and potential flash crashes. Similar measures in other derivatives markets have had a neutral to mildly positive effect on trader confidence without directly driving price trends. In the short term, volatility around XPL futures may decrease as traders adjust to the new limits. Over the long term, the improved risk controls could support a more orderly market, but no direct catalyst for price movement is evident. Overall, the news maintains a neutral stance on market direction.