Hyperliquid funds have turned to inflows: analysis of three-week outflows and new prospects for HYPE
Spot funds for Hyperliquid (HYPE) recorded their first net capital inflow in three weeks. During the week ending August 7, $2.84 million flowed into the products, marking a reversal after a prolonged phase of outflows. The cumulative net inflow since the launch of these ETFs has risen to $280.8 million.
Inflow into HYPE ETFs after three weeks of outflows
HYPE-based funds launched in mid-May and initially demonstrated steady capital inflows. However, over the past month, the dynamics shifted sharply: over three weeks, investors withdrew $30.6 million from HYPE ETFs. The peak of outflows occurred during the week of July 27-31, when losses reached $14.7 million. The main driver of the negative trend was the Bitwise BHYP fund, which posted the most significant negative result.
It is worth noting that the weakening interest in HYPE funds coincided with growing competitive pressure. The price of the HYPE token mirrored capital movements: in late July, the asset began declining from just above $60 and dropped to $55 by the first days of August. At the time of analysis, HYPE was trading around $54.75, losing approximately 3% in a day and 29% from the record high of $76.87 reached on June 16.
Performance of other crypto ETFs
The recovery of HYPE funds coincided with the return of significant capital to all major crypto funds: during the week of August 3-7, total inflows across the segment approached $1.1 billion. Bitcoin (BTC) funds attracted $853.5 million, fully offsetting the $61.5 million outflow from the previous week. Ethereum (ETH) funds added $244.9 million — the best result since mid-April.
Smaller products based on other altcoins showed more modest results. Investors put only $145,000 into Solana (SOL) funds, compared to $7.2 million two weeks earlier. XRP funds (XRP) added $1 million after an inflow of $14.9 million the previous week.
This distribution of strength indicates clear concentration. Investors are directing fresh capital primarily into Bitcoin and Ethereum, reducing positions in smaller cryptocurrencies. The modest inflow into HYPE ended the fund's most difficult period since its launch.
My analysis: The return of inflows into HYPE funds is a positive but cautious signal. Given that the bulk of capital is flowing into BTC and ETH, the recovery of HYPE appears more technical than fundamental. For a sustainable trend, interest in altcoins needs to return across the broader market, not just within individual products.