Trading Bot Error Propels Hyperliquid’s HYPE Token to Unexpected $98 Peak

HYPE Token’s $98 Surge on Lighter Traced to Bot Glitch, Not Whale Activity
October 28, 2025

A sudden jump that sent Hyperliquid’s HYPE token soaring to nearly $100 on decentralized exchange Lighter wasn’t triggered by large-scale whale buying but by a malfunctioning trading bot — underscoring the delicate balance between data transparency and user experience on decentralized exchanges.

The token briefly traded at a massive premium to its global price, drawing attention and speculation from traders across the crypto community. What initially appeared to be aggressive accumulation turned out to be a bot-driven trading error, according to Lighter.

In a statement posted on X, Lighter explained that the automated trading bot inadvertently bought through the entire HYPE order book, executing orders at increasingly higher prices in a thin liquidity environment. Despite the sharp price movement, the exchange confirmed that no forced liquidations or major user impacts occurred.

The anomaly, however, distorted Lighter’s price charts, prompting the exchange to remove the affected data from its interface to maintain clarity for traders. Lighter emphasized that while the abnormal spike is no longer visible on its charts, all related transaction data remains publicly accessible on-chain.

“While on-chain data is immutable,” the team said, “our responsibility is to present it in a way that best serves traders.” Lighter also noted that other front ends built on its protocol can still choose to display the raw, unedited data.

The incident highlights a recurring challenge for decentralized exchanges: how to balance transparency with usability during irregular trading activity.

Not everyone agreed with Lighter’s handling of the event. Crypto analyst Duo Nine criticized the decision to hide the data from charts, arguing that it conceals deeper liquidity problems:

“You should just admit that your order books are illiquid instead of censoring the data. That’s misleading your users. What happens next time there’s a liquidation?”

The episode has sparked broader discussion around DEX integrity and front-end governance, illustrating how even a small algorithmic glitch can raise larger questions about market trust and transparency in decentralized trading.