Perpetuals tied to SK Hynix hit by flash crash to $900 on Hyperliquid
SK Hynix perpetuals experienced a 20% flash crash on the Hyperliquid exchange, reflecting broader volatility in AI-linked stocks. The decline coincides with a general market downturn for chipmakers and concerns over AI sector valuations.
Why it matters
The volatility highlights the risks of trading derivatives on decentralized exchanges and the sensitivity of AI-related assets to market sentiment.
Between 23:00 UTC and 23:01 UTC, the price of perpetuals tracking the Seoul-traded stock crashed 20% to $900, according to data from Hyperliquid. The price rebounded to over $1,000 the very next minute and was recently priced at $1,092. The contract is traded and denominated in dollar-pegged stablecoin USDC.
An hour later, the Korean stock market opened on a negative note, led by chipmakers. By the end of the day, SK Hynix shares had dropped by 15% to 1,550,000 won ($1,762). Other losers included Samsung Electronics and carmaker Hyundai Motor. The benchmark Kospi index fell 11%.
SK Hynix ADRs, 10 of which equal one share, fell 4.5% in pre-market trading to $136.51.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in