Tom Lee Reveals the Condition That Could Set Off a Sharp Rally in This Altcoin!

BitMine Chairman Tom Lee argued that the price of Hyperliquid’s HYPE token could rise very rapidly if a company accumulating it were to reach half of the supply.

According to Wu Blockchain, Lee explained how purchases by companies holding cryptocurrency in their treasuries could affect prices in an interview with CoinDesk on September 30 during Korea Blockchain Week. At the heart of his assessment was the possibility that these companies could raise new capital and withdraw more tokens from the market.

The 50% scenario for HYPE

Lee said a digital asset treasury company accumulating HYPE holds approximately 14% of the token supply and continues to buy. He suggested that if the company’s share were to reach 50%, HYPE’s price could rise parabolically—that is, at an accelerating pace.

Behind this expectation is the decline in the number of tokens available to buy on the market as purchases grow. The 50% figure Lee pointed to is not a share of the supply already acquired, but the condition on which he based his expectation of a strong rally.

How could companies increase their purchases?

In the model Lee described, it is important for companies to have a market capitalization above their net asset value. This premium valuation can enable companies to raise capital and buy more cryptocurrency; growing purchases can, in turn, reduce the supply available on the market.

Wu Blockchain noted that Lee’s market forecasts are generally optimistic and cautioned that his expectations may not come to pass. The outlook for HYPE, too, is a conditional scenario based on the relationship between company purchases and supply, rather than a definite price target.