Important requirements
- HYPE hit a record high of $75 on Tuesday, led by rising institutional demand amid broad market weakness.
- Grayscale is expected to report more on the global Hyperliquid ETF HYPG market.
Hyperliquid’s local benchmark, HYPE, rose to $75.52 on Tuesday, extending its recent rally as interest rates continue to grow and environmental activity continues to dominate demand.
Grayscale launches Hyperliquid ETF
A major contributor to HYPE’s recent gains is increasing competition in the Exchange-Traded Fund (ETF) market.
Grayscale plans to enter competition with the Hyperliquid ETF space after filing an amended S-1 filing with the US Securities and Exchange Commission (SEC).
Bloomberg ETF analyst James Seyffart said the move suggests the fund could be launched soon, possibly within days.
The proposed ETF will trade under the ticker HYPG and have a dividend yield of 0.29%, undercutting competing assets.
The organization’s passion for HYPE has already been demonstrated by the success of Bitwise’s Hyperliquid ETF, BHYP. The fund attracted $20 million on Friday, marking its highest single-day total since its launch.
After 11 days of trading, BHYP has surpassed $100 million in assets under management (AuM), backed by $81.8 million in funding. The ETF has also generated $35.1 million in daily turnover.
Bitwise has also aligned itself with the Hyperliquid ecosystem by committing to hold 10% of its annual operating income in HYPE tokens on its website for at least 12 months.
According to onchain analytics platform Lookonchain, Bitwise purchased an additional 336,474 HYPE tokens, worth approximately $24.4 million, in the past 24 hours.
The latest acquisitions show a growing interest in institutional investors as investors seek exposure to the rapidly growing Hyperliquid portfolio.
Hyperliquid price pattern: HYPE returns after reaching the normal price
Despite reaching $75.52 earlier in the day, HYPE was trading at $72.28 at the time of writing, up 1% over the past 24 hours.
However, the token remains one of the most active digital assets as the establishment of institutions and ETF-related requirements continues.
An RSI of 65 indicates that HYPE is strong but is likely to enter overbought territory, creating room for growth.
If interest rates continue, HYPE could extend its rally and create a new target around $80.
However, if the pullback continues, HYPE could retrace Sunday’s low of $67. A strong bullish trend could see HYPE dip below $60 for the first time since May 28.
