TLDR
- Arthur Hayes sold his entire $5.1M HYPE position for $823K profit to fund Ferrari purchase
- Sale came one month after predicting HYPE could hit $5,000 (126x current price)
- Competition from Binance-backed Aster platform pressuring Hyperliquid market
- Hayes bought $1M worth of ENA tokens showing continued DeFi interest
- HYPE down 8% following whale selling but up 660% since November launch
BitMEX co-founder Arthur Hayes liquidated his complete Hyperliquid (HYPE) token position on September 21, generating $5.1 million in proceeds. The sale delivered $823,000 in profit after holding the tokens for just one month.
Hayes posted on social media that he needed funds for a Ferrari 849 Testarossa deposit. The Italian sports car carries a price tag of up to $590,000 according to Ferrari’s official specifications.
The timing surprised crypto observers since Hayes recently predicted HYPE could surge 126x to $5,000. He made this forecast at Tokyo’s WebX 2025 conference in August, citing stablecoin market expansion and retail trading demand.
On-chain data from HypurrScan and Arkham Intelligence confirmed Hayes sold 96,628 HYPE tokens. His profit margin reached 19.2% on the month-long investment.
HYPE currently trades at $49.48, down 8.1% in 24 hours but up 660% since its November 2024 launch at $6.51. The token powers Hyperliquid’s decentralized derivatives exchange.
Binance-Backed Competition Creates Market Pressure
Market analysts point to competition from Aster as influencing Hayes’ exit decision. Binance founder Changpeng Zhao recently promoted Aster as a perpetuals trading platform rival to Hyperliquid.
OKX CEO Star Xu also acknowledged Aster’s competitive threat before removing his social media posts about the project. The emergence of backed competition appears to have shifted market dynamics.
Hayes’ sale coincided with broader whale activity. Another large holder withdrew $122 million worth of HYPE tokens, identified as likely being trader Techno_Revenant with unrealized gains exceeding $90 million.
Hyperliquid has experienced rapid growth with trading volume surging from $560 million in early August to $3.4 billion at peak. The platform processes billions in derivatives trading volume monthly.
Hayes Maintains Long-Term Bullish Outlook
Despite exiting his position, Hayes stands by his long-term HYPE price target. His $5,000 forecast assumes continued fiat currency debasement driving stablecoin adoption.
Hayes projects Hyperliquid’s annualized fees could reach $255 billion compared to current $1.2 billion revenue. He describes the platform as a “casino” for retail traders seeking leveraged exposure.
The crypto executive has built a reputation for bold predictions, including Bitcoin reaching $250,000 by end-2025. He previously told Cointelegraph Magazine he remains confident despite occasional incorrect forecasts.
Hayes hasn’t completely abandoned DeFi investments. Data shows he purchased nearly $1 million in Ethena’s ENA tokens over two days, suggesting strategic repositioning rather than sector exit.
DeFi researcher Sherif interprets the ENA purchases as broader ecosystem confidence. Ethena Labs has pledged 95% of USDH revenue to Hyperliquid, creating potential synergies.
The moves reflect Hayes’ trading philosophy of capturing short-term profits while maintaining long-term conviction. His actions demonstrate how market narratives and competition can influence even the most bullish investors.
Hayes’ trading activity continues attracting attention as crypto markets track major holder movements for directional signals.
