Arthur Hayes, co-founder of BitMEX and chief investment officer at Maelstrom, liquidated his entire positions in Hyperliquid’s HYPE token and NEAR Protocol’s NEAR token on June 4, marking a sharp shift from his recent bullish stance. The move came only days after he reiterated a $150 price target for HYPE and backed that view with a $100,000 charity wager tied to its performance against top-10 crypto assets.
Tracking platform Onchain Lens shows Hayes sold 247,334 HYPE tokens worth roughly $18 million. Shortly after the transaction, HYPE declined 10%, while NEAR also faced selling pressure as the market absorbed the news.
Arthur Hayes (@CryptoHayes) has dumped 247,334 $HYPE ($18.02M) and an unknown amount of $NEAR.
— Onchain Lens (@OnchainLens) June 4, 2026
Interestingly, the sale comes shortly after Arthur publicly challenged @KyleSamani to a $100K charity bet, claiming that $HYPE will outperform every other top-10 cryptocurrency by… https://t.co/AoaN5klG0W pic.twitter.com/JDqsZ9CK2u
In a post on X, Hayes confirmed the decision:
"I just dumped my entire $HYPE and $NEAR position, I will explain why in my essay “Reality Test” dropping next Tuesday."
Market reaction exposes Hayes’ influence
The selloff triggered immediate volatility across HYPE markets. The token traded near $67 on June 4 after reaching an all-time high of $75.5 just two days earlier, according to TradingView data. Over a 24-hour period, it lost more than 10% as traders responded to the unexpected exit of one of its most visible supporters.
The broader crypto market also weakened during the same session. Bitcoin dropped to an intraday low of $61,556, which led to liquidations in leveraged positions and reduced appetite for risk. Rising oil prices and escalating tensions in the Middle East added pressure to sentiment.
Hayes pointed to several macro factors behind his decision. These include higher energy prices linked to the Iran conflict, expectations of three major artificial intelligence IPOs before the third quarter, and his view that financial markets could peak earlier than anticipated.
"Time to take profit," he wrote in a separate comment.
From “holy trinity” to full liquidation
Earlier in 2026, Hayes described HYPE, NEAR, and ZEC as his “holy trinity” of crypto holdings. He accumulated more than $1 million worth of HYPE and publicly outlined a roadmap for further gains. His latest move contradicts that narrative and has sparked debate within crypto circles.
Arthur Cheong, founder of DeFiance Capital, reacted to the sale in an X post, calling it "the epitome of a guy that over-trades his position." Crypto trader TraderSZ also questioned the consistency of Hayes’ calls, noting his recent bullish commentary before the exit.
The timing stands out. Hayes had previously suggested that crypto markets could reach a peak around September 2026. His decision to exit months earlier signals either a shift in that outlook or concern that risks are materializing faster than expected.
Hyperliquid fundamentals remain in focus
Despite the selloff, Hyperliquid continues to attract institutional attention. Grayscale launched a Hyperliquid Staking ETF under the ticker HYPG on June 3. The product joined similar offerings from 21Shares and Bitwise, which expanded access to the ecosystem.
Hyperliquid’s decentralized exchange has also gained traction. The platform captured a record share of global perpetual futures trading and increased its volume relative to Binance during May. Weekly trading volumes reached around $40 billion in perpetuals, with about $1 billion in spot assets.
HYPE remains one of the strongest-performing large-cap tokens of 2026. The asset rose from below $25 earlier this year to above $75 before the recent pullback. It still holds significant gains year-to-date despite the latest decline.
Technical levels signal near-term pressure
Market structure shows HYPE trading near key support zones after the drop. The $64 area represents a major Fibonacci retracement level and has become a short-term battleground for traders. Below that, attention shifts to $55 and then the psychological $50 level.
Liquidation data from CoinGlass highlights dense clusters of leveraged positions between $64 and $66. A break below this range could expose additional downside toward $62 and $60. On the upside, short liquidation zones between $76 and $78.6 may come into play if price recovers above previous highs.
Valuation concerns and upcoming risks
Some market participants had already flagged valuation concerns before Hayes’ exit. Markus Thielen of 10x Research described Hyperliquid as "one of the most impressive businesses in crypto" but noted that the token traded at elevated multiples relative to projected fee revenue.
At recent highs, HYPE reached roughly 25 times projected revenue, while protocol income remained below previous peaks. A scheduled token unlock in June could add further selling pressure, alongside profit-taking from early investors.
Focus shifts to “Reality Test” essay
Attention now turns to Hayes’ upcoming essay, “Reality Test,” scheduled for June 9. The publication may clarify whether his decision reflects a broader shift in macro outlook or a tactical move after a strong rally.
The immediate reaction shows that Hayes still influences market behavior. His exit has introduced volatility into one of 2026’s top-performing tokens and raised questions about positioning across altcoins as macro risks intensify.
Gunel Ismayilova
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