Hyperliquid ETFs surprise with 50% volume jump after slow launch

US-based exchange-traded funds tied to HYPE recorded a 50% trading volume jump on Wednesday, in a rare move for newly debuted ETFs, according to analysts. 

Two Hyperliquid (HYPE) ETFs from issuers Bitwise and 21Shares have recorded nearly $41 million in total value traded since their launches earlier this month, with trading volumes increasing since their debuts, according to SoSoValue.

Bloomberg ETF analyst Eric Balchunas said in an X post Wednesday that such trading increases for ETFs are “very rare,” and many normally record a “big splash [on] day one then drop off OR oblivion for months until [people] notice it. Rare to build in first week like this.”

Balchunas pinned the ETFs’ growth on a “perfectly timed launch as EVERYTHING (stocks, bonds, gold, btc [Bitcoin], cryptos) is down lately except the HYPE.”

Source: Eric Balchunas

The Hyperliquid token has gained 120% so far this year and is up 18.5% in the past day to $56, according to CoinGecko. Traders have flocked to the token and the platform, with some analysts viewing it as the next trendy crypto play because it has captured a large portion of the crypto perpetual futures market.

Over the past year, the S&P 500 has gained 8.6%, while the tech-heavy Nasdaq 100 has gained 16%, while Bitcoin has fallen 11%. 

It comes a day after Bitwise, one of two issuers of a US-based HYPE ETF, said traders had mispriced HYPE, arguing the platform is more than just a crypto exchange, but a “super-app” encompassing multiple asset classes.

Related: Hyperliquid eyes 55% price rise after Silicon Valley investor’s ‘massive HYPE buy’

21Shares was the first to launch a HYPE fund in the US, launching its 21Shares Hyperliquid ETF (THYP) on May 12 and drawing $1.2 million in net inflows, far below other altcoin ETF launches such as those for Solana staking. 

The Bitwise Hyperliquid ETF (BHYP) debuted later that week on May 14 to $750,000 in net inflows, 

The two ETFs recorded their highest day of net inflows Wednesday, with a combined $25.5 million in net inflows. The 21Shares ETF recorded $16.6 million, while Bitwise’s ETF recorded $8.8 million. 

Crypto asset manager Grayscale also filed for a Hyperliquid ETF in March, with the planned fund currently being processed by US regulators.

The X account Lookonchain said on Wednesday that two wallets linked to Grayscale had purchased $25 million worth of HYPE over the past week and staked it, but it is not known if the move is tied to the company’s planned ETF.

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