Arthur Hayes Sells HYPE Tokens for $4.8M, Buys Ferrari

Arthur Hayes, the former BitMEX CEO and prominent crypto investor, executed a complete reversal of his public stance on Hyperliquid’s HYPE token. According to blockchain analytics firm Lookonchain, Hayes sold 96,628 HYPE tokens on Sunday for $4.8 million, realizing a profit of $823,000—a 19.2% gain on his month-long investment. This move stands in stark contrast to his August 25 presentation at the Tokyo Web3 conference, where he took the stage to proclaim that Hyperliquid had “a potential upside of 126 times” based on surging annualized fees.

The timing of Hayes’ sale proved particularly damaging to investor confidence. As one observer at the Tokyo conference presciently noted at the time of Hayes’ bullish prediction: “This means he’s selling his whole stack the moment he steps down from the presentation.” The sale occurred just three days after HYPE hit its all-time high of $59.30 on September 18, a peak achieved amid significant hype and promotion from Hayes and other supporters who had also backed major cryptocurrencies like Ether.

Hayes’ substantial sell-off immediately reverberated through the HYPE market. The token dumped approximately 12% during Monday morning trading in Asia, falling from just over $54 to bottom out at just over $47. This decline occurred despite HYPE having doubled in value since the beginning of 2025, demonstrating how influential figure movements can trigger rapid price corrections in the volatile cryptocurrency market.

The HYPE sell-off contributed to a broader market rout that saw the total cryptocurrency market capitalization lose around $80 billion, representing a 2.2% decline within hours. Other altcoins experienced even more severe losses, with the native token for Binance rival DEX Aster (ASTER) tanking 17% as it retreated from Sunday’s all-time high of $1.96. The Solana memecoin market Pump.fun saw its native token (PUMP) dump 15% on the day, while Cronos (CRO) shed 9% over the past 24 hours.

Major cryptocurrencies including Ether, XRP, and Solana were all down around 4%, while Dogecoin, Cardano, and Chainlink experienced larger losses in what market participants described as another Monday morning market rout. This widespread decline suggests that Hayes’ actions may have amplified existing negative sentiment rather than solely causing the market movement.

Hyperliquid, the decentralized crypto derivatives exchange behind the HYPE token, has surged in popularity recently due to its platform that allows speculators to take out highly leveraged perpetual contracts on crypto assets. The platform’s growing total value locked had been a key component of Hayes’ bullish thesis, though his abrupt exit raises questions about the sustainability of this growth.

Interestingly, Hayes made another market prediction over the weekend that contrasted with his HYPE sale timing. After observing that the US Treasury’s General Account (TGA) surged past $850 billion earlier this month, he stated: “With this liquidity drain complete, up only can resume.” This theory suggests that liquidity previously used to top up the TGA would flow into markets once target levels were hit, indicating Hayes maintains a generally bullish outlook on crypto markets despite his HYPE divestment.

The episode highlights the complex dynamics between influencer endorsements, market movements, and personal investment strategies in the cryptocurrency space. While Hayes captured attention with his humorous explanation about needing funds for a Ferrari Testarossa deposit—the new plug-in hybrid supercar unveiled in Milan this month with a starting price of $540,000—the underlying message to investors is one of caution regarding the alignment between public statements and private actions among crypto thought leaders.