Hyper Liquid Token Price Rises 23% In One Day: Can The Bullish ‘HYPE’ Last?
HYPE, the decentralized exchange's hyperliquid native token, jumped more than 23 percent in the past 24 hours, rising to $47 on Friday to hit its highest level since October 2025.
HYPE/USDT Daily Chart. Source: TradingView
What is driving the sudden HYPE rally, and does the signal have enough momentum to extend the bull run in the coming days?
Main Receptors:
This week's multiple US spot HYPE ETF launches bolstered the token's institutional demand narrative.Coinbase's adoption of Hypeliquid's USDC Treasury has boosted HYPE prices.
HYPE ETF will launch expectations of institutional demand for oil
The biggest immediate catalyst behind the HYPE's rally appears to be the arrival of US-listed Hyperliquid exchange-traded products.
On Friday, Bitwise launched the Position Hyperliquid ETF, trading on the NYSE under the ticker BHYP.
HYPE/USDT Daily Chart. Source: TradingView
The fund offers investors controlled exposure to HYPE and seeks to share a limited stake through Bitwise's in-house staking division. The sponsor fee is set at 0.34%, with a full write-off on $500 million in assets in the first month.
The launch follows 21Shares' Hyperliquid ETF, THYP, which launched on Nasdaq on Tuesday.
A day later, onchain data source Lookonchain said that wallets linked to venture capital firm a16z had bought nearly $67.5 million worth of HYPE tokens.
Source: X
The acquisitions are said to have taken place in the same month that the EFF was to be launched.
It depends on whether the HYPE ETFs attract meaningful returns, rather than generating launch-week speculation that lasts through May.
They managed $3.17 million in assets as of Friday, according to SoSoValue data.
US spot HYPE ETFs net flows. Source: SoSoValue
Coinbase, Circle deal adds structural tailwind to HYPE rally
HYPE's Rally got a boost after Coinbase announced on Thursday that it was a USDC Treasury issuer on HyperLiquid.
The agreement will strengthen the USDC's role as a master custodian and reference asset in the hyperliquid onchain markets.
The stablecoin has a supply of nearly $5 billion in Hyperliquid, making it the dominant stablecoin in the ecosystem, Defillama explained.
Stablecoin market value on Hyperliquid. Source: Defillama
Under the revised AQAv2 framework, Coinbase is expected to share the maximum reserve production revenue from USDC deployed on Hyperliquid with the protocol.
Circle serves as the technical implementer for USDC on Hypeliquid and has pledged to distribute 500,000 HYPE tokens.
“It is accepted that hyperliquid is very dominant for displacement, so it is better to balance distribution and hold,” analyst Ailo said in a Thursday post.
“We should see an increase of ~$140M+ in annual revenue that can be used to back HYPE.”
The Clarity Act process increases the regulatory tail
The HYPE rally comes as US crypto regulation shows signs of progress.
On May 14, the Senate Banking Committee passed the CLARITY Act by a 15–9 vote, a key step in a bill that would define when digital assets fall under securities or commodities laws.
The update boosted sentiment across all crypto markets, sparking daily rallies in Bitcoin, Ethereum, XRP and other top coins.
Still, the CLARITY Act is not law yet. The bill now heads to the Senate, where it needs broad bipartisan support to overcome procedural hurdles.
If it passes the Senate, lawmakers will still need to reconcile the House version before sending the final bill to President Donald Trump.
HYPE growing wedge warns of a 30% price correction
HYPE's continued uptrend remains in a bullish wedge pattern, which is confirmed by the price trend in two intersecting upward trend lines.
In technical analysis, such a wedge is played when the price breaks below the lowest trend line and falls to a length equal to the maximum height of the structure.
HYPE/USDT Daily Chart. Source: TradingView
Applying this rule to the HYPE chart will bring the lower target to the $26.5-$31.20 range based on the breakout point as shown above. This means it can be corrected by 30-45% in June or July.
On the contrary, a critical breakout above the higher wedge boundary could completely invalidate the bearish setup, pushing the HYPE price towards $59–$60, which corresponds to the 1.0 Fibonacci retracement level shown below.
HYPE/USDT Daily Chart. Source: TradingView
HYPE's daily Relative Strength Index (RSI) also supports a short-term bullish case. The indicator remains below the overbought 70 threshold, suggesting that the price still has room to extend the rally.
