US Spot HYPE ETF Sees Unbroken Inflows Since Launch, Bucking Crypto ETF Trend

The US spot Hyperliquid (HYPE) exchange-traded fund, which began trading on May 12, has recorded net inflows in every single trading session since its debut, accumulating over $122 million in net assets by May 29. This unbroken streak stands in stark contrast to the broader crypto ETF landscape, where Bitcoin and Ethereum funds have suffered prolonged outflows.

Diverging Fortunes: HYPE ETF vs. Bitcoin and Ethereum ETFs

While the HYPE ETF has enjoyed consistent investor interest, US spot Bitcoin ETFs have experienced a record ten consecutive days of outflows, draining $2.97 billion between May 15 and May 29. The streak surpassed the previous record of eight consecutive outflow days set in early 2025, according to SoSoValue data. Total net assets across Bitcoin ETFs fell from $104.29 billion to $94.17 billion during that period, with the largest single-day exit of $733 million occurring on May 27.

Ethereum ETFs have fared even worse, logging 14 consecutive sessions of redemptions that removed roughly $2.6 billion from net assets over the same timeframe. The sustained withdrawals coincided with a 4.6% decline in Bitcoin to $73,397 and a 4.6% drop in Ethereum to $1,996 over the past week.

HYPE Price Surge and Bull Pennant Breakout

The ETF inflows have accompanied a sharp rally in HYPE's spot price. The token surged more than 30% over five days to a record near $74, completing a bull pennant pattern that points to a further advance toward $105. The measured target, derived by adding the flagpole's height to the breakout point, suggests a potential 45% upside from current levels.

However, momentum appears stretched. The relative strength index sits above 77, indicating overbought conditions. A pullback toward the 20-day exponential moving average near $58.32 is possible, and a clear break below that level would weaken the bullish setup.

Futures data reinforces the bullish narrative. Open interest on Hyperliquid reached a record $3.5 billion, up from about $1.41 billion at the start of the year, according to Coinglass. The funding rate has remained positive throughout most of the rally, meaning long traders are paying shorts to hold positions. Since May 20, HYPE has recorded about $126.28 million in short liquidations against $68.85 million in long liquidations, suggesting a short squeeze that could drive further gains toward the $100–$105 zone.

Broader Market Context and Adoption

The HYPE ETF's success comes amid a broader crypto market that has struggled to track global equity gains. While the MSCI All Country World Index rose and Asian equities hit all-time highs, crypto markets diverged, pressured by rising oil prices above $93 a barrel and higher Treasury yields.

Notably, Hyperliquid has surpassed Ethereum to become the second-largest blockchain by app revenue on a 30-day rolling basis, generating $57.9 million, according to DefiLlama. This achievement underscores the growing utility and adoption of the Hyperliquid ecosystem, which may be attracting institutional investors through the ETF channel.

Key Takeaways

1. The US spot HYPE ETF has seen inflows every day since its May 12 launch, accumulating over $122 million in net assets by May 29.
2. Bitcoin ETFs recorded a record ten consecutive days of outflows, draining $2.97 billion, while Ethereum ETFs suffered 14 straight days of redemptions.
3. HYPE's price surged over 30% to a record near $74, with a bull pennant pattern targeting $105.
4. Futures data shows record open interest and a short squeeze, supporting further upside.
5. Hyperliquid became the second-largest blockchain by app revenue, boosting institutional interest.

Sources: CoinMarketCap Academy - Bitcoin ETF Outflow Streak, CoinMarketCap Academy - HYPE Breakout Targets $105, CoinMarketCap Academy - Dogecoin Paxos Partnership