HYPE Price Breaks Channel Support Amid Bitwise’s Hyperliquid ETF Filing
- HYPE price correction gives a major breakdown from the support trendline of the channel pattern.
- Bitwise has filed a preliminary prospectus for a Hyperliquid ETF, offering investors exposure to the Hyperliquid platform.
- The current price correction could witness strong support at $35.65 and $30.
On Thursday, September 25th, the cryptocurrency market experienced a sudden sell-off amid concerns over a potential U.S. government shutdown on October 1st. As a result, a majority of major cryptocurrencies, including Hyperliqide (HYPE), extended their price correction below key support levels. While the technical outlook suggests a continued correction ahead for the HYPE price, the asset management company Bitwise has filed for a Hyperliquid ETF, potentially bolstering an opportunity for buyers to counterattack.
Bitwise Files Hyperliquid ETF Prospectus
The asset management company Bitwise has made another move in its diversification into crypto-linked investment products, filing a preliminary prospectus on September 25, 2023, for a Hyperliquid ETF.
The proposed exchange-traded fund (ETF) will issue common shares of beneficial interest that would provide investors with exposure to Hyperliquid, a decentralized trading platform. While the exchange and ticker symbol of the proposed ETF were not disclosed in the filing, it describes the ETF as being benchmarked to an index that represents executed trade flows of major Hyperliquid trading venues. A third-party provider will calculate the benchmark.
The structure of the fund is similar to that of other digital asset ETFs, with the Trust holding Hyperliquid directly and pricing its net asset value (NAV) in reference to a liquidity pricing benchmark. Bitwise Investment Advisers, LLC will be the sponsor and manager of the Trust, which will be responsible for management and related expenses.
Besides adding products linked to Bitcoin and Ethereum to Bitwise’s ETF portfolio, the filing may have big implications for HYPE, Hyperliquid’s native coin. With an SEC-approved ETF, institutional and retail exposure to the platform will likely increase, which can lead to more liquidity and demand for HYPE as the underlying ecosystem gains exposure.
Following the news, the futures market sentiment decoupled from Hype’s falling price. According to Coinglass data, the OI data has bounced from 3.6% since yesterday to hold at $2.24 billion currently. This surge indicates renewed interest from derivative traders and the return of speculative forces.
Hype Price Gives Major Breakdown Channel Pattern
Over the past week, the HYPE price experienced a sudden drop, falling from $0.594 to its current trading price of $0.420, representing a 29% loss. Subsequently, the asset’s market plunged to $14.36 billion.
Amid this downfall, the coin price gave a bearish breakdown from the support trendline of a rising channel pattern. Since mid-June 2025, the HYPE price has been actively resonating within this dynamic resistance and support trendline.
Theoretically, the pattern drives a steady uptrend in price with the formation of higher highs and higher lows. With today’s drop, the Hyperliquid price gave a bearish breakdown from the pattern’s bottom trendline, signaling a bearish shift in this asset.
The momentum indicator RSI dropped to 31% reflecting the momentum selling pressure in
If the breakout holds, the coin price could plunge another 15.7% and test $35.65 support, followed by a dip toward the $30 floor.
On the contrary, the HYPE price could take a bullish pullback to the breached level and validate its sustainability before a lower price. If this retest re-enters the channel range, the bearish grip over this asset would start to lose.
Also Read: Ethereum Price Holds $4,000 Support as Sharks Accumulate
