Bitwise ETF Clients Pile into Hype Despite 14% Price Drop

Bitwise's Hyperliquid ETF clients have been accumulating HYPE tokens despite a recent selloff, purchasing $5 million worth of the token last week and holding onto it since July. This buying spree comes as HYPE's price has dropped by over 14% in the last 30 days.

The Bitwise Hyperliquid ETF is one of the largest HYPE ETF issuers, with no sales recorded since the end of July, according to Arkham data. All transactions noted in August were purchases, indicating a trend of accumulation rather than selling off.

This trend is significant because demand and flow figures carry weight for HYPE, as it behaves like a claim on exchange revenue due to its staking mechanism. Hyperliquid routes protocol fees into an Assistance Fund that converts 97% of them into HYPE buybacks, reducing the supply of tokens.