Loracle, the largest short seller of HYPE, has reduced its short position from $108 million to $60 million over the past 36 hours, incurring an unrealized loss of $22.5 million. The market is closely watching Loracle's next move, as 893,000 HYPE tokens, valued at $59 million, remain unmoved in their HyperEVM address. Previously, Loracle unlocked 1.115 million HYPE tokens worth $63.51 million, selling 557,000 tokens for $33.35 million on May 21. Market observers anticipate Loracle may sell the newly unlocked tokens, potentially impacting their $104 million short exposure. A short squeeze could lead to significant losses, potentially exceeding $100 million.