Arthur Hayes Dumps HYPE and NEAR Holdings, But Hyperliquid Defies Market Selloff

The crypto market has been struggling under heavy selling pressure, with billions of dollars wiped out from leveraged positions and Bitcoin ETFs recording massive outflows. Yet one token continues to stand out from the crowd. Hyperliquid's native token, HYPE, has managed to remain resilient even after one of crypto's most influential investors, Arthur Hayes, announced that he had sold his entire position.

The development comes as Hayes prepares to release a new essay explaining why he believes it is time to take profits across parts of the crypto market.

Arthur Hayes Reveals Exit From HYPE and NEAR

BitMEX co-founder Arthur Hayes surprised traders after revealing that he had sold all of his HYPE and NEAR holdings. In a post on X, Hayes said he would explain the decision in an upcoming essay titled "Reality Test," scheduled for release next week.

According to on-chain data, Hayes transferred approximately 247,330 HYPE tokens worth nearly $18 million to trading firm Flowdesk. The move confirmed that he had exited a position that he had previously promoted publicly.

The announcement caught many investors off guard because Hayes had recently expressed strong confidence in Hyperliquid. Earlier this year, he even placed a high-profile $100,000 bet predicting that HYPE could eventually outperform every cryptocurrency currently ranked in the top ten by market capitalization.

His sudden exit naturally raised questions about whether his outlook had changed.

Why Did Hayes Decide to Sell?

Although Hayes has not yet released his full explanation, he shared several reasons behind his decision. One concern involves rising energy prices linked to ongoing tensions involving Iran. According to Hayes, higher fuel costs and supply-chain pressures could create broader economic challenges that negatively affect risk assets.

He also pointed to the possibility of several major artificial intelligence companies going public over the coming months. Companies such as OpenAI and Anthropic are widely expected to attract enormous investor attention if IPO plans move forward.

Hayes believes these offerings could drain liquidity from financial markets, reducing the amount of capital available for cryptocurrencies and other speculative investments.

In addition, he suggested that U.S. President Donald Trump could adopt a more critical stance toward artificial intelligence ahead of the midterm elections, potentially creating additional uncertainty for markets. Taken together, Hayes believes market highs may occur sometime between now and September, making it a suitable time to lock in profits.

HYPE Refuses to Follow the Bearish Narrative

Despite Hayes' exit, Hyperliquid's token showed remarkable strength. While many major cryptocurrencies declined during the broader market correction, HYPE continued pushing higher and entered what analysts described as a "price discovery" phase above the $70 level.

The performance has been particularly impressive considering the overall weakness across crypto markets.

Over the past month, HYPE gained approximately 24%, while Solana declined roughly 14% during the same period. On a year-to-date basis, HYPE has climbed around 142%, making it one of the strongest-performing major crypto assets of 2026.

ETF Flows Show a Different Story

Another factor supporting HYPE has been growing investor demand through exchange-traded products.

Bitcoin ETFs continue experiencing heavy withdrawals. Data shows Bitcoin-related ETFs recorded nearly $396 million in outflows on Wednesday alone, bringing total withdrawals to roughly $4.37 billion over the past thirteen trading sessions.

In contrast, HYPE-related investment products continue attracting fresh capital. Recent figures show HYPE ETFs recorded nearly $3 million in inflows on Wednesday, extending a streak of fifteen consecutive days of positive flows.

Total inflows have now reached approximately $140 million.

These numbers suggest that some investors may be rotating capital away from Bitcoin and toward alternative crypto assets showing stronger growth potential