Can Aster Dethrone Hyperliquid?

This time a year ago, few people knew about the potential of Hyperliquid. Some were anticipating a decent airdrop, and those who had access to decentralized perp exchanges knew of its promise, but few predicted that the price would do a 25x from the airdrop, and that it would crack the top 12 cryptocurrencies by market cap.

It was inevitable that competition would come along sooner rather than later, but will Hyperliquid be knocked off its perch anytime soon, or does it still have the best product?

Capturing a growing market

As cryptocurrency grows into one of the most promising financial markets of the 21st century, there’s no shortage of companies looking to cash in on this. There are a plethora of ways they look to do this. Some companies have used the popularity of other markets to spring their ideas into action.

One of the earliest examples of this was in crypto casino gaming, where platforms integrated blockchain and Bitcoin to attract a range of new customers. Playing at a crypto casino like Joe Fortune involves setting up a crypto wallet and purchasing your chosen digital asset. But once you have the crypto in your wallet and deposit it, the games run in the same fashion as they do at a conventional casino gaming platform.

Thebest fishing slot games, for instance, have a broad reach, and alternative payment options allow people to explore the full scope, whether they are demo games or platforms that integrate digital assets.

For platforms like Hyperliquid and Aster, the goal is to bring a mass audience into their relatively niche area of crypto. Yes, this might sound ridiculous given that Hyperliquid has a company valuation of around $18 billion, making it more valuable than the Bank of Shanghai and the Warner Music Group.

However, perps DEX trading is something reserved for professionals, which makes it a lucrative idea but a highly competitive niche. It’s not a surprise to see a genuine competitor emerge with significant momentum.

Healthy competition

It’s crucial in cryptocurrency that one project or company doesn’t achieve a total monopoly on the area it specializes in. Hyperliquid’s launch, product, and community were all so impressive that it quickly started to dominate the perps DEX market. It left competitors like DYDX in its wake. In fairness, DYDX had fallen off a long time before HYPE joined the party; it’s just the Hyperliquid Genesis airdrop put the final nail in the proverbial coffin.

Hyperliquid was bound to hit a bump in the road at some stage. Within the space of 12 months, it emerged from the shadows to a point where it controls 70% of the market. There have been whispers of VC-backed projects looking to rise up and challenge this supremacy, but given that they often have short-termism as the backbone of their own approach, they tend to be ideas that fizzle out quickly and hit a ceiling.

Aster is not one of those projects; there are elements of the DEX that have captured the imagination, even for HL maxis. Some of the tools and features include leverage stock trading, multi-chain trading options, 1000x BTC options, and maker base rates that are as low as 0.01% - totally undercutting Hyperliquid.

Panic stations at Hyperliquid HQ?

It’d be premature to say that Hyperliquid should be too concerned at the moment, but there’s a possibility that the team might sit up and take the autopilot off. They have HIP-3 around the corner, OTC sales of the NFT fetching close to $100,000, and rumours of a multi-billion dollar season 2 airdrop that may or may not be in the pipeline. All of these factors are symbolic of a brand that is on the cusp of something enormous.

It could be the case that Aster is simply the shiny new thing in town. However, with a 1,700% price increase in 7 days, Changpeng throwing his weight behind the brand, and a multitude of notable celebrities promoting the product across CT, Aster is providing some much-needed competition. But panic stations at Hyperliquid HQ? Not likely anytime soon with so many promising ideas in the pipeline.

The future is HYPE... or Aster?

With the price hovering around $1.60 at the time of writing, some believe the price has the potential to expand up to $4. If Aster had the same market cap as Hyperliquid, that would put the token in the price range of between $9 and $10.

It’s definitely not the most outrageous idea, and only a fool would bet against the might and the reach of CZ, but still, Hyperliquid has so much going for it; it has established itself over the course of the last 12 months and has a community and reach that still completely towers over any other perps DEX looking to steal their limelight.

Aster might continue growing; it could get to even double its current price, but even from that stage, it would need to continue rising exponentially, and Hype would have to miss a step or two, but stranger things have happened in crypto.

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