Bitwise Bullish on Hyperliquid: HYPE Token Labeled ‘Undervalued’ After 20% Rally

Bitwise Chief Investment Officer Matt Hougan has issued a strongly bullish outlook on Hyperliquid and its native token, HYPE, arguing that the market is fundamentally mispricing the platform's long-term potential.

The "Super App" Vision

Hougan suggests that investors are currently making a "pricing error" by treating Hyperliquid as merely another perpetual futures venue. Instead, he frames the platform as a global financial "super app" that is rapidly expanding beyond the traditional boundaries of cryptocurrency. According to Bitwise, Hyperliquid’s true trajectory involves a move into stocks, commodities, foreign exchange, and prediction markets, positioning it as a comprehensive trading hub for a wide array of global assets.

Strategic Valuation and Fee Models

A key driver of this bullish sentiment is Hyperliquid’s unique fee structure. Hougan highlights a model where 99% of trading fees are directed toward HYPE token buybacks. This mechanism is designed to support token value directly rather than simply extracting revenue, aligning incentives between the platform and its investors. Bitwise estimates the platform’s annual revenue could currently sit between $800 million and $1 billion, suggesting significant room for the business to scale.

Market Performance and Trajectory

Despite HYPE recording massive gains of nearly 20% in the past week and trading near the $48 mark, Bitwise maintains that the token remains undervalued. Interest in the asset has been further bolstered by recent ETF activity, including launches from Bitwise and 21Shares. As HYPE approaches its previous all-time highs of $59, institutional experts believe the market has yet to fully credit the platform for its evolution into a diversified trading powerhouse.