There is a lot of buzz surrounding Hyperliquid after Bitwise submitted an amended ETF filing with the U.S. Securities and Exchange Commission (SEC). Although there is a lot of excitement about the SEC green lighting a HYPE ETF, the coin has not shown any drastic spike on its charts.
Hyperliquid, a layer 1 blockchain designed to enhance DeFi applications, has grabbed the attention of investors lately. The coin captured a spot among the top trending coins on the popular crypto platform Coingecko.
What is all this buzz and excitement about?
U.S.-based asset management company, Bitwise, revised the S1 form that it filed for the HYPE ETF. In the revised version of the filing, the company included a proposed management fee, the ticker symbol, and, more importantly, an 8(a) provision.
Proposed Fee of 67 Basis Points (bps): 67 basis points or 0.67% is the amount an investor would pay annually. A management fee is the annual cost investors pay to the company that runs an ETF for operating and managing the fund. This provides clarity on the product’s expense structure.
The ticker symbol ‘BHYP’ is the proposed identifier for trading on exchanges, making the fund’s market presence official.
An 8(a) Provision: this is a technical part where the ETF, under the 1933 Securities Act, becomes effective automatically after waiting for a predetermined period of time (20-days), without needing a formal approval from the regulator.
This is a major step as the SEC staff generally does not allow issuers to rely on 8(a) unless major disclosure, custody, and market-structure concerns have already been resolved. As such, ETF analysts like Eric Balchunas view the use of Rule 8(a) as a strong indicator of regulatory alignment.
By permitting this Rule 8(a), it means that material issues have been addressed and the remaining steps are procedural, not substantive.
Despite all issues being addressed and the ETF falling in line with SEC regulations, HYPE has barely moved on the chart. As shown in the chart below, the coin has been crashing inside a falling wedge.
Although HYPE is crashing inside a falling wedge, this pattern will eventually break out to the upside. Now that HYPE has reached the support at $26, the breakout could happen at any moment. Once Hyperliquid breaks out of the wedge, it will reach above $45.
