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CASHCAT token drops after Hyperliquid perpetual listing triggers liquidations
After Hyperliquid capped leverage at 3x with isolated margin, CASHCAT’s perpetual collapsed more than 60% in minutes while the spot price barely moved, taking market value down toward $63 million.
CASHCAT, the flagship token of the two-week-old Robinhood Chain, has fallen about 70% from its all-time high after leveraged trading activity arrived, unwinding gains that briefly lifted its market value above $200 million. On Friday, the token traded around $0.065, down from $0.2278 set on July 11, with CoinGecko data showing it was down about 25% over the past 24 hours and roughly 58% for the week. The Defiant reports that CASHCAT’s market value was near $63 million, down from the earlier peak of about $200 million.
The selloff underscores how quickly newly launched, thinly traded tokens can retrace when derivatives open, according to The Defiant. Hyperliquid, described by the outlet as the largest onchain perpetuals exchange by volume, listed CASHCAT perpetual futures on July 11, capping trades at 3x leverage with isolated margin. Isolated margin limits losses to the collateral posted for a single position rather than drawing on the full account balance.
Binance’s wallet then followed on July 14 with a CASHCAT perpetual offering up to 10x leverage, The Defiant said. Shortly after the Hyperliquid listing, the perpetual collapsed more than 60% in minutes, wicking from above $0.19 to roughly $0.08 before rebounding, while the spot price barely changed. The outlet attributed the mismatch to the perpetual settling against a spot index that did not fall as far, liquidating leveraged position holders while spot buyers were largely unaffected.
CASHCAT launched on Robinhood Chain, which Robinhood brought to mainnet on July 1, and takes its name and mascot from the company’s pre-launch branding, The Defiant added. The token is described as having no formal affiliation with Robinhood and had risen more than 4,000% in its first week as it dominated activity on the new chain before the leveraged markets opened and the retracement began.