ZHIPU, traded on the Hyperliquid platform, rose sharply Tuesday, climbing 31.1 percent from its session low to a high of $149.52 before trading around $146.71.

The rebound inflicted losses on short sellers, including a leveraged position initiated at $127.50 and increased up to $143.20. The address maintains a 5 times isolated short position valued at approximately $198,700, with a liquidation price near $163.83 and an unrealized loss of about $14,100, representing a 38.1 percent decline in returns.

Seven additional short positions exceeding $50,000 were established during the rebound, with combined holdings of roughly $953,200 and collective unrealized losses around $70,800. Among larger long positions, one carries an average entry near $149.66, only slightly above current levels, while another at approximately $159.41 faces ongoing pressure.

The token had previously dropped about 50 percent from its placement price following the July 13 issuance of 19.78 million new H-shares. The decline accelerated after the July 17 release of an open-source artificial intelligence model before partially recovering on Tuesday.