The cryptocurrency landscape saw another shake-up as HYPE, the native token of the decentralized perpetuals exchange Hyperliquid, slid by 4.2% during U.S. market hours on Monday, landing at $27.6. This minor setback mirrors the broader bearish sentiment in the crypto market, with Bitcoin dipping below $87,000 during the same period.
Bitwise’s Hyperliquid ETF Filing: What It Means
Despite the downward trend in HYPE’s price, the token is drawing significant attention due to Bitwise’s recent update on its amended S-1 filing for its Hyperliquid ETF. The update includes critical details such as the 485(a) particulars, expense ratio (set at 0.67%), and the ticker symbol BHYP. This filing suggests that the ETF launch could happen soon, potentially triggering recovery momentum for HYPE.
The registration statement, originally filed on December 15, 2025, with the U.S. Securities and Exchange Commission (SEC), positions the fund as a grantor trust holding HYPE tokens securely via Anchorage Digital Bank. The fund follows a net asset value (NAV) based on the CF Hype Dollar US Settlement Price, which aggregates data from major trading platforms using CF Benchmarks.
Opportunities and Risks for Investors
While the opportunity for yield generation through staking offers potential rewards, it also carries associated risks such as price volatility, staking interruptions, and custody dependencies. Moreover, the decentralized nature of the asset presents its own set of challenges in evolving regulatory landscapes.
For investors eyeing a bullish breakout, it’s worth noting the falling wedge pattern on the daily time frame chart. Historically, this pattern is a bullish indicator that often signifies the potential for a rebound. Currently, HYPE is hovering around $27.5, close to the bottom trendline of this pattern. If the trend persists, the token could surge approximately 25%, reaching an overhead resistance level of $33. This move would pave the way for a renewed push towards the $40 mark, provided the resistance trendline is breached.
The Technical Setup: A Mixed Outlook
On the flip side, the exponential moving averages (20, 50, 100, and 200) suggest a bearish broader market sentiment. A breach below the lower trendline could lead to a stronger downtrend in HYPE. Investors are advised to watch for key support levels and remain cautious about potential market volatility.
For those who want to stay on top of crypto market movements, consider using tools like CoinGecko or CoinMarketCap for real-time updates. Additionally, Ledger wallets can offer increased security for staking and holding your tokens safely. You can explore Ledger products here.
Conclusion: What’s Next for HYPE?
As volatility persists, the Hyperliquid ETF launch could serve as a catalyst for HYPE’s resurgence, attracting institutional and retail investors alike. However, caution is paramount as the decentralized finance market evolves under regulatory scrutiny. Keep an eye on key price levels and trading trends to make informed decisions.