21Shares Files for 2x Leveraged HYPE ETF as Token Tests Critical Support
Asset manager 21Shares has submitted a filing with the U.S. SEC for a 2x leveraged HYPE ETF, aiming to provide institutional investors with double the daily returns of the Hyperliquid protocol. The fund will utilize swap agreements and options to achieve leverage, bypassing the need for direct token custody.
Meanwhile, the HYPE token faces technical headwinds, testing a crucial support zone between $34 and $35 after a 7% decline. Bearish indicators—including a MACD crossover and weakening RSI—suggest potential downside to $30 if support fails. A breakout above $37.50 WOULD signal trend reversal potential.
The proposed ETF represents a milestone for DeFi institutionalization, marking the first U.S.-listed Leveraged product tracking a live protocol's perpetual market performance. Approval could accelerate mainstream adoption of structured crypto derivatives.
