Altcoin Outlook: WLFI Fights Price Losses with Buybacks, HYPE Faces Unlock Shock

Crypto markets face distinct challenges: While Trump-family-backed World Liberty Financial (WLFI) attempts to halt ongoing price declines through aggressive buyback programs, the DEX token Hyperliquid (HYPE) faces massive selling pressure from imminent token unlocks.

WLFI Intensifies Buyback Strategy

World Liberty Financial conducted token buybacks worth $7.7 million on Wednesday at an average price of $0.16 – a significant increase from the previous September buyback of $1.06 million^[1]. The measure comes against the backdrop of a dramatic price decline: Since the start of the year, the WLFI token has fallen over 48 percent^[1].

As early as September, the community voted on a fundamental strategic reorientation. According to this, 100 percent of treasury funds generated from liquidity fees will henceforth be used for buybacks and token burns^[1]. The stated objective of this measure is to reduce the circulating supply and thereby increase demand.

Despite a short-term price increase of 13 percent over the past week, the token failed to recover sustainably^[1]. The current price hovers between $0.16 and $0.17 with a market capitalization of approximately $4.3 billion^[1]. Technical analysis shows a neutral to slightly bullish trend as long as the price remains above the moving average of $0.16^[1].

Hyperliquid Faces Critical Stress Test

An entirely different situation is emerging for Hyperliquid. On November 29, the first major token unlock is imminent: 9.92 million HYPE tokens will be released – roughly three percent of the circulating supply^[2]. The market is already showing signs of nervousness: In less than a week, the token lost 20 percent in value^[2].

Particularly striking: This is only the beginning. Monthly unlocks worth approximately $300 million are scheduled through 2027^[2]. Arthur Hayes, former CEO of BitMEX, puts investors' concerns into perspective: There is no way around the immense selling pressure – "even if the team promises not to sell"^[2].

The crucial question for investors is now: Can Hyperliquid's projected growth actually cushion this unlock wave? The coming weeks will mark the first real-world test for HYPE – and precisely for one of the most successful assets in the current cycle^[2].

Different Challenges, Shared Risk

Both projects exemplify typical altcoin risks: WLFI struggles with insufficient sustainable demand despite prominent backing, while HYPE must manage the classic challenge of token unlocks. For investors, this means increased volatility and the necessity to carefully analyze tokenomics and unlock schedules.

The coming weeks will reveal whether buyback programs can reverse the trend for WLFI and whether Hyperliquid generates sufficient organic growth to absorb the impending selling pressure.