How to Spot Hyperliquid Risks with Signals
Identify and monitor risk factors in your HYPE holdings with health signals.
Hyperliquid Risk Overview
Hyperliquid is a performant L1 optimized from the ground up. The vision is a fully onchain open financial system with user built applications interfacing with performant native components, all without compromising end user experience. The Hyperliquid L1 is performant enough to operate an entire ecosystem of permissionless financial applications – every order, cancel, trade, and liquidation happens transparently on-chain with block latency <1 second. The chain currently supports 100k orders / ...
Understanding Hyperliquid Risk Signals
Fundamentally provides 7 types of risk signals to help you monitor your Hyperliquid (HYPE) position. These signals combine your Focus score, market timing (CBBI), and position sizing to alert you when conditions warrant attention.
Risk Signals for Hyperliquid
- Concentration Risk: Your HYPE position exceeds your bet size range
- Liquidity Risk: Your position is large relative to daily trading volume
- Volatility Risk: Large price swings combined with meaningful position size
- Focus-Timing Mismatch: High Focus but unfavorable market timing
- FOMO Risk: Good timing but low Focus score
- Cleanup Candidate: Very small position with low Focus
- Overweight Poor Timing: Above bet size range during unfavorable conditions
Volatility Context
Hyperliquid currently exhibits stable price action with a 24-hour volatility of 0%. Volatility Risk signals help you understand when this volatility poses a risk to your position.
How Fundamentally Monitors Hyperliquid Risks
View Your Signals
7 Risk SignalsOpen the Signals page to see which risk signals are active for Hyperliquid. Each signal tells you specifically what risk is present in your HYPE position.
Understand Each Signal
Clear ExplanationsConcentration Risk triggers when HYPE exceeds your bet size range. Volatility Risk signals you to large price swings. Focus-Timing Mismatch warns when market conditions don't favor your position.
Take Informed Action
You DecideUse the Investment Calculator to determine how much Hyperliquid to rebalance if needed. Signals are informational—you decide what action to take based on your strategy.
Concentration Risk
Signals when your HYPE position exceeds the bet size range based on your Focus score.
Liquidity Risk
Monitors when your Hyperliquid position is large relative to daily trading volume.
Volatility Risk
Tracks HYPE price swings and signals when volatility affects your position.
Timing Signals
Combines your Focus for Hyperliquid with CBBI market timing to identify mismatches.
Frequently Asked Questions
Fundamentally monitors 7 risk signals for Hyperliquid: Concentration Risk, Liquidity Risk, Volatility Risk, Focus-Timing Mismatch, FOMO Risk, Cleanup Candidate, and Overweight Poor Timing. These combine your HYPE Focus score, position size, and market conditions.
Layer 1s like Hyperliquid face technology risk, competition from other L1s, and potential centralization concerns. Your HYPE risk assessment should include validator distribution, governance capture risk, and ecosystem dependency.
Monitor Hyperliquid Risk Signals
Stay informed about risks in your portfolio with Fundamentally's signal system.