Bitwise Hyperliquid ETF Attracts Record $19.05M in Single-Day Inflows

Block Scholes is an FCA-regulated institutional crypto derivatives analytics platform. Live data, IV surfaces, and backtesting available via blockscholes.com.

Recent Research from Block Scholes

• Tokenised Markets on Bitget UEX: How Traders Are Utilising 24/7 Real-World Assets For Real Time Macro Hedging
• Block Scholes x Panoptic: Bridging The Onchain Convexity Gap
• Volatility Report: February 2026
• 2026 – the year of RWA perps
  

In Today's Note

• The large IBIT dark-pool sale was not an ETF redemption, with Farside data showing IBIT outflows of around $192M and total US spot BTC ETF outflows of $333.6M.
• HYPE ETFs saw fresh inflows, with Bitwise Hyperliquid ETF recording its largest single-day inflow at $19.05M.
• Oil prices and Treasury yields moved lower, but risk appetite stayed muted, with the S&P 500 and Nasdaq-100 only modestly higher.
• Prediction-market regulation drew renewed attention, after Trump publicly backed the CFTC’s authority over the sector.
• Base launched Base MCP, Pump.fun expanded multi-chain trading, China’s top court said it will study crypto cases, and OpenZeppelin’s co-founder warned that AI could worsen DeFi security risks.

Market Snapshot: Overnight Moves

‍

Macro & Markets

• After briefly moving above $77K, BTC reversed lower over the past 24 hours, falling from an intraday high of $77,943 to a low of $75,218.
• ETH followed a similar intraday pattern, rising to $2,137 before retracing to $2,057.
• Fund-flow data showed continued redemptions from the majors yesterday, with BTC at $333.71M for a 7th consecutive day of outflows and ETH at $35.04M for an 11th consecutive day of outflows.

• A single order of $1.29B BlackRock’s IBIT was sold in a “dark pool” around 10:30 ET on Tuesday.
• However, while this has prompted claims of an incoming "record ETF outflow”, the secondary-market trade does not constitute an ETF redemption and the trade was likely mostly matched against an institutional buyer, not redeemed against the underlying.
• Farside flow data show IBIT recorded a net outflow of only ~$192M on the day, with total US spot BTC ETF outflows of $333.6M — day 8 of the current outflow streak, but well below IBIT's standing single-day record of $523.2M set on 19 Nov 2025.

• Galaxy Digital's Alex Thorn called it "the biggest trade he has seen made through a dark pool" for a Bitcoin ETF — roughly 22 times the size of the day's next-largest IBIT sell order.
• While Bloomberg's Eric Balchunas summarised it as "price unchanged today so mkt absorbed it well", spot prices reacted strongly in the short term - BTC fell 1.5% in the ten minutes after the announcement  (from $77,875 to $76,720) and to a 12-hour low of $75,600 (‑2.8%).

• In contrast HYPE ETFs recorded $20.45M of inflows on Monday, with Bitwise Hyperliquid ETF ($BHYP) recording its largest single-day inflow, attracting $19.05M of inflows.

• Lower oil prices and a pullback in Treasury yields over the last 24H have not seen a corresponding improvement in risk-on appetite as expressed by equities and blue-chip cryptoassets, as SPX ended the day up only +0.1% and the NDX +0.5%.
• Oil prices remain highly sensitive to conflicting headlines around US–Iran negotiations. WTI fell 2.1% to $91.92/bbl, while Brent fell 1.7% to $95.03/bbl after signs that negotiations were still progressing despite recent US strikes and Iranian retaliation threats.
• The 10Y yield touched 4.469%, its lowest level in around two weeks, before closing near 4.472%, down 1.8bp on the day. 
• The 2Y yield fell 2.3bp to 4.023%.

• Iran accused the US of breaching the ceasefire and acting in “bad faith” following the latest strikes, while Washington defended the action as necessary and defensive.
• Secretary of State Marco Rubio said the Strait of Hormuz would be reopened “one way or the other”, reinforcing that the US is putting pressure on Iran to restore shipping flows. 
• The proposed framework is centring on a 60-day truce, reopening the Strait of Hormuz and restarting talks around limits on Iran’s nuclear programme. 

DeFi / Web3 / Altcoins / Crypto3

• President Trump has intensified the conversation around prediction market regulation by publicly endorsing CFTC Chair Michael Selig’s position on the agency’s authority over the sector.
• In a post on Truth Social, Trump said: “It is critically important that the CFTC’s exclusive authority over Prediction Markets is maintained, and that they will thrive.”
• He also framed the issue as part of a broader competition for financial-market leadership, stating that other countries are pursuing this “new form of Financial Market” while the US seeks to remain at the top. 
• Trump further linked the debate to crypto, saying the US is currently the “Crypto (Bitcoin, etc.) Capital of the World” and that other countries are trying to challenge that position.
• The issue sits at the intersection of derivatives regulation, political forecasting, sports betting, and crypto market structure, with platforms such as Polymarket and Kalshi helping drive mainstream attention after the 2024 US election cycle.

• China’s Supreme People’s Court has signalled that judicial authorities will further study adjudication rules for cryptocurrency, citing an increase in “emerging cases involving virtual currencies and cross-border finance.”
• Speaking at a press conference in Beijing, Liu Guixiang, a supreme judge and member of the Supreme People’s Court judicial committee, said Chinese courts will conduct deeper research into rules for these cases.
  
  
• Base, the Coinbase-incubated Ethereum Layer 2 network designed to support faster, lower-cost onchain applications and payments across the Ethereum ecosystem, has introduced Base MCP, a new gateway designed to connect AI interfaces with Base wallet infrastructure.
• According to an announcement, Base MCP acts as a secure bridge between users’ Base Accounts in the Base App and AI interfaces that support the open Model Context Protocol standard, including Claude, ChatGPT, and Cursor.
• The integration will allow users to interact with Base applications through natural language prompts, including swapping tokens, transferring funds, and accessing DeFi applications across lending, swaps, perpetuals, and token launches.
• At launch, Base MCP is expected to connect with applications including Morpho, Bankr, Moonwell, Avantis, Aerodrome, Virtuals, and Uniswap.
• Base said the MCP server does not access users’ private keys - instead, transactions are constructed as pending requests for users to review and sign through their Base Account.

• Pump.fun is expanding beyond Solana with the launch of multi-chain trading functionality in its app, according to their announcement on X.
• The update will allow users to trade tokens across multiple blockchains, including Ethereum, Base, BNB Chain, Monad, and other supported networks.

• Ethereum-focused smart contract security and auditing firm, OpenZeppelin’s co-founder Manuel Aráoz said he now considers “all of DeFi unsafe,” warning that “coding agents are superhuman at finding vulnerabilities” and that smart contract security has become too asymmetric in favor of attackers.
• Aráoz said he has been “privately advising friends and family to exit all DeFi positions including low-risk ‘blue chips’ like Aave, MakerDAO & Compound,” despite those protocols historically being viewed as among the safest in decentralized finance.
• He also warned that “AI agents one-upping each other is the new science meta,” arguing that increasingly autonomous AI systems competing to identify exploits could become a major new security risk for DeFi infrastructure.

This Week's Calendar

Charts of the Day