Hyperliquid SpaceX pre-IPO contract flash crashes 45%, liquidates $1.5M

Hyperliquid's SPACEX-USDH perpetual contract experienced a violent flash crash on Thursday afternoon, plunging from an open of $2,277 to a low of $1,254 within 30 minutes — a near-45% collapse — before partially recovering to around $2,169. The move liquidated 405 users across 1,393 positions, wiping $1.51 million in notional value, according to Hyperliquid data.

The episode highlights the acute liquidity risk in pre-IPO synthetic markets. Over the prior 24 hours, the contract had generated only $4.87 million in total trading volume against an open interest of under $2.9 million. A single large sell order or cluster of liquidations in a thin order book can trigger cascading liquidations, as stop-losses and margin calls compound the downside. For crypto traders, such flash crashes serve as a reminder of the fragility of leveraged positions in illiquid instruments, even on platforms with advanced risk management. Check NowPrice's crypto page for real-time pricing on Hyperliquid and other perpetual markets.

Looking ahead, traders should monitor open interest and volume profiles on pre-IPO contracts closely. The partial recovery to $2,169 suggests some dip-buying, but the wide intraday range indicates unresolved uncertainty around SpaceX's valuation ahead of its eventual public listing. Any news related to SpaceX's IPO timeline or financial disclosures could trigger further volatility in this contract.