Bitwise’s Hyperliquid ETF Filing Signals Imminent Launch, But Can It Lift HYPE Price?
The race to bring the next single-asset crypto ETF to market heats up as Bitwise submits a crucial amended Hyperliquid ETF filing to the SEC. The updated Form S-1 reveals key details including a 0.67% management fee and the proposed ticker BHYP for listing on NYSE Arca. This final-step paperwork often precedes an official launch, potentially making Hyperliquid’s HYPE token the next digital asset to gain a regulated U.S. investment vehicle.
Decoding the Filing: A Sign Launch Is Near
The Hyperliquid ETF filing follows a familiar blueprint seen before Bitcoin and Ethereum ETF approvals. Bitwise’s submission of a fee structure and final registration language is a strong procedural indicator that the product is launch-ready, pending final SEC effectiveness. As Bloomberg analyst Eric Balchunas noted, such amendments typically mean “issuance is imminent.” The fund is designed to offer physical, direct exposure to HYPE tokens, tracking a CF Benchmarks index.
Market Reaction: A Surprisingly Muted Response from HYPE
Despite the bullish news, HYPE’s price reaction has been conspicuously muted. The token is trading nearly flat around $28.80, down over 3% for the week and 23% for the month. This disconnect suggests the market may be waiting for the final green light before repricing, or that broader crypto market headwinds are overwhelming a single-asset catalyst. However, significant on-chain activity continues, with the Hyperliquid team recently moving $90 million in HYPE, underscoring the network’s high-fee earning status among blockchains.
The Bigger Picture: Expanding the ETF Universe
This filing is part of a clear trend. Following spot approvals for Bitcoin and Ethereum, major asset managers like Bitwise are aggressively expanding into single-asset funds for newer, high-performance layer-1 networks. A successful Hyperliquid ETF filing would validate HYPE’s positioning and provide a massive liquidity and visibility boost, potentially attracting a new wave of institutional capital.
My Thoughts
The market’s muted reaction is a classic case of “buy the rumor, sell the news” playing out in reverse. The filing is the rumor; the approval and launch will be the news. Once the ETF goes live and creates a new, steady demand channel, the price dynamic for HYPE could change fundamentally. For now, this represents a major milestone in Hyperliquid’s journey toward institutional legitimacy. If approved, BHYP could act as a significant absorber of circulating supply, much like other successful crypto ETFs.
