- Hyperliquid’s (HYPE) token falls 25% this week, trading at $42.15.
- HYPE trading volume jumps 21%, showing strong investor activity.
This week saw major events in the cryptocurrency market with Hyperliquid HYPE token. Although the price has dropped significantly, industry analysts have positive outlooks regarding the future performance trend of the digital asset.
HYPE is currently trading at $42.15, which is a huge 25% drop in the last seven days of trading. Nevertheless, the volume of trading has increased by 21% in the intraday session, indicating that investors are still showing interest in the market despite the recent volatility.
Crypto analyst Ardi is optimistic about the future of HYPE, pointing to historical trends that indicate a possibility of a recovery in the future. The analyst observed that all-time highs have always been corrected by 20% before the next rally. Ardi ignored the threat posed by competitors such as Aster to the market position of Hyperliquid as transient market noise, and not as a fundamental challenge.
Bitwise Leads Institutional Push with SEC Filing
Bitwise, an investment management firm, has filed a Form S-1 application with the Securities and Exchange Commission. The suggested Bitwise Hyperliquid ETF would offer conventional investors direct access to HYPE tokens via regulated platforms.
The ETF structure has novel in-kind creation and redemption, where shares can be directly exchanged for tokens. This is to minimize the cost of operation and enhance overall efficiency of both the institutional and retail players.
Under existing generic listing criteria of cryptocurrency exchange-traded funds, SEC review procedures generally take up to 240 days. The filing is considered by industry observers to be a significant step towards HYPE becoming part of mainstream financial markets.
VanEck is also said to be developing a rival Hyperliquid ETF with staking options and launches of European exchange-traded products. Industry executives believe that these developments would enable HYPE to be listed on leading cryptocurrency exchanges such as Coinbase.
In the meantime, the ecosystem of Hyperliquid is growing successfully with the introduction of USDH stablecoin on HyperCore platform. The stablecoin minted more than $15 million during the initial 24 hours of operation.
The rivalry is also increasing, with Aster briefly overtaking Hyperliquid in terms of daily revenue, which demonstrates the increasing competition in the decentralized exchange industries. Although there are short-term challenges, institutional interest in ETF filings is a sign of long-term confidence in the technological basis of Hyperliquid.
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Source: https://thenewscrypto.com/hype-token-shows-resilience-as-etf-filing-signals-institutional-interest/
