Key takeaways

HYPE hit a new all-time high of $75 on Tuesday, driven by rising institutional demand amid broader market weakness.
Grayscale has advanced plans to launch its spot Hyperliquid ETF HYPG this week.

Hyperliquid’s native token, HYPE, surged to a new all-time high of $75.52 on Tuesday, extending its recent rally as growing institutional interest and expanding ecosystem activity continue to drive demand.

Grayscale to launch a Hyperliquid ETF

A key catalyst behind HYPE’s latest gains is increasing competition in the exchange-traded fund (ETF) market. 

Grayscale is preparing to enter the race with a spot Hyperliquid ETF after filing an amended S-1 registration statement with the U.S. Securities and Exchange Commission (SEC).

Bloomberg ETF analyst James Seyffart noted that the amendment suggests the fund could launch in the near future, potentially within days. 

The proposed ETF will trade under the ticker HYPG and carry a management fee of 0.29%, undercutting competing products.

Institutional appetite for HYPE has already been demonstrated by the success of Bitwise’s Hyperliquid ETF, BHYP. The fund attracted roughly $20 million in inflows on Friday, marking its largest single-day inflow since launch.

After just 11 trading days, BHYP has surpassed $100 million in assets under management (AuM), supported by cumulative inflows of $81.8 million. The ETF has also generated average daily trading volumes of $35.1 million.

Bitwise has further aligned itself with the Hyperliquid ecosystem by committing to hold 10% of its annual management fees in HYPE tokens on its balance sheet for at least 12 months.

According to onchain analytics platform Lookonchain, Bitwise purchased an additional 336,474 HYPE tokens, valued at approximately $24.4 million, over the past 24 hours.

The latest acquisition highlights continued institutional accumulation as investors seek exposure to the rapidly growing Hyperliquid ecosystem.

Hyperliquid price outlook: HYPE retraces after reaching a new all-time high

Despite reaching a record high of $75.52 earlier in the day, HYPE was trading at $72.28 at the time of writing, up by 1% over the previous 24 hours. 

However, the token remains one of the strongest-performing digital assets as institutional adoption and ETF-related demand continue to accelerate.

The RSI of 65 shows that HYPE is bullish but is yet to enter the overbought region, creating room for further growth.

If the bullish trend persists, HYPE could extend its rally and create a new all-time high around the $80 level.

However, if the pullback extends, HYPE could retest the Sunday low of $67. An extended bearish trend could see HYPE drop below $60 for the first time since May 28.

TLDR

Ethereum price dropped below $2,000 for the first time since March 29.
Santiment Intelligence said the latest ETH dip triggered strong retail FOMO.
Santiment data showed 2.4 bullish comments for every bearish remark.
Retail traders used the price drop to call for fresh buy-the-dip entries.
Santiment warned that heavy crowd optimism could increase short-term volatility.

Ethereum price has fallen below $2,000 for the first time since March 29, drawing fresh retail attention.

Santiment Intelligence said the move has sparked strong “buy the dip” reactions across social media. The firm said retail traders have shown more excitement than fear after the latest decline.

The drop placed ETH below a key psychological level watched by traders. Santiment’s social data showed that many market participants treated the fall as an entry point.

Instead of panic, the data showed a clear rise in bullish comments. Santiment said the reaction pushed Ethereum into what it described as a FOMO zone.

Retail Traders Back Ethereum After Price Drop

According to Santiment Intelligence, ETH sentiment data covered activity from April 26 to May 27. During that period, bullish comments rose sharply after the price slipped below $2,000.

The analytics firm reported 2.4 bullish responses for every bearish remark. Santiment said this was the strongest retail optimism around Ethereum in several weeks.

Many traders on social platforms called for buying ETH at lower prices. Santiment tied those messages to a fresh wave of retail demand after the decline.

Market participants often react with fear when major assets break important support levels. However, Santiment said Ethereum’s latest fall produced the opposite response among retail traders.

Santiment Places ETH in FOMO Zone

Santiment described the current sentiment setup as a FOMO zone driven by crowd greed. The firm said the high bullish ratio showed strong public confidence despite price weakness.

The data does not confirm where Ethereum price will move next. Santiment instead used the reading to highlight a growing imbalance in market emotion.

The firm said traders should watch crowd behavior alongside price charts and macro data. Santiment added that social trends can shape short-term trading conditions when sentiment becomes crowded.

According to the report, the ETH reaction showed how fast retail traders can change direction. A sharp price fall became a buying signal for many social media users.

Ethereum Price Outlook Depends on Crowd Reaction

Market observers cited by Santiment warned that strong retail confidence can bring extra volatility. They said heavy crowd optimism often creates risk when many traders expect the same outcome.

Experienced traders and institutional desks often wait for retail enthusiasm to settle, Santiment said. The firm said some large traders may avoid fresh entries during crowded bullish periods.

At the same time, Santiment said retail demand could stay active if traders keep viewing ETH below $2,000 as cheap. The firm did not state that such demand would protect the price from further losses.

Ethereum now sits at a sensitive point for sentiment, according to Santiment’s reading. The firm said confidence could either survive another decline or weaken if selling pressure continues.

Santiment said the latest ETH move shows why traders track crowd psychology with technical indicators. The firm said social data can help explain retail behavior during fast market moves.

The report placed special focus on the difference between FOMO and FUD. Santiment said Ethereum’s current reaction leaned toward greed rather than fear.

For now, the Ethereum price remains tied to both market pressure and retail conviction. Santiment said the next phase will depend on whether dip buyers keep supporting ETH.

Zcash developers temporarily suspended Orchard transactions after discovering a critical vulnerability in the privacy-focused blockchain’s latest shielded pool, then restored functionality through an emergency network upgrade.

On Wednesday, the Zcash Foundation said the vulnerability affected Orchard’s zero-knowledge proof circuit and could have allowed invalid state transitions within the pool. However, the Foundation said there was no evidence that the bug was exploited, no unauthorized value creation was detected, and user privacy was not affected.

The fix was carried out through a two-step emergency upgrade. Zebra 4.5.3 temporarily disabled Orchard actions, while Zebra 5.0.0 activated the NU6.2 upgrade to re-enable Orchard with a corrected circuit, according to the Foundation. 

The emergency response shows how a bug in core privacy infrastructure can require coordinated action across miners, exchanges and node operators, even when user funds and total supply are not affected.

The upgrade also appeared to have caused confusion across parts of the Zcash ecosystem. One Zcash block explorer showed block 3,364,601 as the latest block mined at 5:27 am UTC, while the page listed it as mined about four hours earlier, prompting reports on X that the Zcash network was down. 

Zcash Open Development Lab (ZODL)-affiliated contributor Tatyana said the network experienced “a brief period of instability” as miners upgraded and converged on new consensus rules. The post did not directly name the block explorer or wallet issues, but said network stability had been fully restored by about 3:00 am Eastern Time on June 2.

Cointelegraph reached out to the Zcash Foundation for comment but had not received a response by publication. 

Zcash Block Explorer showing the last mined block four hours ago. Source: Zcash Block Explorer

According to the Zcash Foundation, the vulnerability was discovered on May 29 by independent security researcher Taylor Hornby during an ongoing protocol audit for Shielded Labs. The issue was disclosed to ZODL core engineers, who confirmed it and began preparing remediation options.

Zcash incident sparks confusion among community members

Mert Mumtaz, CEO of Solana infrastructure firm Helius, disputed the reports, saying the network was “not down” and that some explorer apps were connected to a bad node. 

Pseudonymous community member Zerodarts echoed the sentiment, saying that “blocks are being mined” and that most block explorers need to update their nodes.

Related: Zcash is ‘running its own bull market’ as ZEC price paints 88% rally setup

However, community member Railgoon said Zcash miners and developers had frozen the Orchard shielded pool to patch a vulnerability before a hard fork. He said the network was therefore “partially intentionally down” at the time, but had since recovered. 

Zcash’s ZEC token briefly fell below $600 to $599 after reaching a daily high of $637, according to CoinGecko data. However, it had recovered to $614 at the time of writing. 

Magazine: Korea’s first memecoin rug-pull case, China’s crypto rules review: Asia Express

Real Finance and Anchorage Digital form RWA infrastructure pact.
Partnership combines tokenization, custody, and settlement tools.
Firms target institutional adoption of on-chain capital markets.

Real Finance and Anchorage Digital have entered into a strategic partnership aimed at supporting the full lifecycle of tokenized assets, as institutional interest in real-world asset (RWA) tokenization continues to grow.

The collaboration combines Real Finance’s blockchain-based tokenization infrastructure with Anchorage Digital’s regulated custody, treasury management, settlement, and institutional security capabilities.

The companies said the partnership is designed to address key operational challenges that have slowed broader institutional adoption of tokenized financial products.

Under the agreement, the two firms will work together across asset issuance, custody, settlement, servicing, and secondary market liquidity.

The initiative is intended to provide a more integrated framework for institutions looking to participate in on-chain capital markets.

Focus on custody and tokenization infrastructure

Real Finance operates an Ethereum Virtual Machine (EVM)-compatible Layer 1 blockchain developed specifically for real-world asset tokenization.

Anchorage Digital, meanwhile, is the parent company of the first federally chartered crypto bank in the United States and serves as a qualified institutional custodian.

As part of the partnership, Anchorage Digital will provide regulated custody and treasury infrastructure for the Real Finance ecosystem and its native ASSET token.

The companies also said Anchorage Digital will act as a foundational custody layer for tokenized financial instruments launched on the Real Finance blockchain.

The arrangement is intended to support broader institutional participation by offering regulated custody services alongside tokenized asset issuance.

In addition, both firms will support each other’s institutional client pipelines.

Real Finance expects to generate additional demand for custody services through asset issuers and onboarding initiatives, while Anchorage Digital plans to connect institutional clients with tokenization and blockchain infrastructure solutions built on Real Finance.

Companies target institutional adoption

Executives from both companies said the partnership is focused on building the infrastructure required for institutional-scale adoption of tokenized assets.

Ivo Grigorov, CEO of Real Finance, said:

“Real Finance and Anchorage Digital are collaboratively building the institutional infrastructure for the next generation of tokenized financial markets. Tokenization alone is not enough. Institutions need trusted, regulated layers that integrate custody, servicing, settlement, and lifecycle management. Together we are moving the industry from experimentation toward functional on-chain capital markets and delivering the unified experience institutions demand.”

Nathan McCauley, Co-Founder and CEO, Anchorage Digital, added:

“RWAs are one of the clearest examples of how blockchain can modernize capital markets, but institutions need more than tokenization rails alone. They need regulated, secure infrastructure that can support custody, settlement, and lifecycle connectivity at scale. Our partnership with Real Finance brings together the core building blocks institutions need to move from isolated pilots to real onchain capital markets.”

Addressing fragmentation in tokenized markets

The companies said the tokenized asset ecosystem remains fragmented across issuance, custody, compliance, settlement, servicing, and liquidity infrastructure.

According to the firms, institutions frequently cite operational trust concerns and disconnected counterparties as obstacles to wider adoption.

The partnership is intended to create a more connected framework by combining blockchain infrastructure, regulated custody, treasury management, settlement capabilities, and tokenization tools.

Real Finance and Anchorage Digital said the framework could support a range of tokenized asset classes, including private credit, investment funds, real estate, structured products, and bank-integrated financial instruments.

The announcement comes as financial institutions continue exploring tokenized assets as a way to modernize capital markets infrastructure and expand access to blockchain-based financial services.

By integrating custody, settlement, and tokenization capabilities within a single ecosystem, the two companies aim to address some of the operational challenges that have limited the growth of institutional on-chain markets.

Ether (ETH) dropped to $1,814 on Wednesday, its lowest in over 14 weeks, raising concerns about whether the ETH/USD pair can stabilize above key liquidity zones near its multi-year lows at $1,800. 

ETH/USD 1-hour chart. Source: Cointelegraph/TradingView

Key takeaways:

Ether fell to a 14-week low near $1,800, with traders warning a breakdown could trigger deeper losses toward $1,200-$1,600.The Coinbase Premium Index hit its lowest level since February, signaling persistent weakness in US spot demand.Spot Ethereum ETFs logged sixteen straight days of outflows.

Ether sits on weak support at $1,800

Ether’s technical structure has weakened after losing support at $2,000 and $2,200. Note that all the major moving averages lie within this zone on the daily chart.

Today, ETH traded as low as $1,814 on Bitstamp, while the daily relative strength index (RSI) fell to 25, its lowest level since Feb. 6, highlighting strong downside pressure and oversold conditions. 

Related: Bitmine buys $52M ETH as Tom Lee says price not yet showing Ethereum’s strength

However, this might also mean that the sellers are losing momentum, suggesting a possible price rebound from current levels, akin to the 39% rebound seen in February.

ETH/USD daily chart. Source: Cointelegraph/TradingView

Traders say Ether’s bullishness hinges on the ETH/USD pair holding above the crucial $1,800 support.

“$ETH almost tapped the $1,800 level today,” analyst Ted Pillows said in a Wednesday post on X, adding:

“This is the last support zone for Ethereum before new lows.”

An accompanying chart revealed that a break below $1,800 would bring areas below $1,700 into the picture.

ETH/USD daily chart. Source: X/Ted Pillows

Additionally, fellow analyst CrypDoMillions said losing $1,800 would send ETH price lower toward $1,600.

ETH/USD daily chart. Source: X/CrypDoMillions

Not all traders had confidence in Ether’s ability to remain above $1,800, with analyst BitFrog saying that “$ETH is on life support” at current levels, adding:

“Bulls better wake up fast. $1,800 looks shaky, honestly.”

The Entity-Adjusted UTXO Realized Price Distribution (URPD) metric, showing at which prices the current set of ETH UTXOs were created, shows that ETH trades above a relatively open zone between $1,800 and $1,250, where there’s less demand.

This means ETH may move more into this range if the sell-off continues, with the downside possibly capped at $1,200. This is where investors acquired more than 1.4 million ETH.

ETH: Entity-Adjusted URPD. Source: Glassnode

Meanwhile, Ether’s cost-basis distribution heatmap shows weak accumulation between $1,200 and $1,800, suggesting a potential pathway toward the lower zone in the short term.

Ether’s Coinbase Premium falls to February levels 

The Ethereum Coinbase Premium Index, which tracks the price difference between ETH on Coinbase and Binance, dropped to -0.16 on May 28, before recovering to -0.13.

A deeply negative premium confirms that the selling pressure is originating from US entities. The last time the metric was this negative was during the early February sell-off when ETH price dropped to multi-year lows at $1,750.

Historically, extreme negative premiums often coincided with capitulation phases, as seen in April 2025 and during the 2022 bear market.

This implies that as long as US investors sell at a discount compared to the global market, the bears remain in control.

Ethereum Coinbase Premium Index. Source: CryptoQuant

“Coinbase Premium has fallen into a notable discount, signaling potential weakness in spot demand,” crypto investor and trader Thomas The Trader said in an X post on Tuesday.

“ETH Coinbase Premium just reached its lowest point since February,” analyst Inoms said in a Monday X post, adding:

“The message is clear: US demand is still weak.”

Weak US demand is also evidenced by heavy outflows from US-based spot Ethereum exchange-traded funds (ETFs). These ETFs have posted outflows for sixteen consecutive days, the longest losing streak since March 2025. 

Investors have withdrawn nearly $847.2 million from these investment products over this period, according to data from SoSoValue.

Spot Ethereum ETFs flows chart. Source: SoSoValue

Coupled with more than $257.3 million in outflows from global Ethereum investment products last week, this points to institutional selling, which will likely continue to put pressure on the price in the near term.

“This old meme coin is about to do something insane,” one X user predicted.

The largest meme coin by market capitalization has followed the broader crypto market’s decline, but that hasn’t stopped analysts from making bullish price predictions.

Several technical indicators reinforce the optimistic outlook, suggesting bearish pressure may soon ease.

Rebound Incoming?

As of this writing, DOGE trades at around $0.096, representing a 6% plunge on a weekly scale. While this might sound concerning, the meme coin has held up far better than BTC (down 10% during this period) and well-known altcoins such as BCH and SUI, which have dropped by almost 20%.

The asset has become the subject of numerous price predictions lately, with Ali Martinez being among the commentators. He claimed that the TD Sequential indicator has flashed a buy signal on DOGE, adding that if the $0.096 support holds firm, $0.11 could be next. X user CryptoBoss made a similar forecast, arguing that the current levels offer a buying opportunity and envisioning a rise to roughly $0.108 in the following days.

CoinForge and MikybullCrypto were even more optimistic. The former thinks the meme coin is about to do “something insane.” They reminded that in 2024 DOGE formed a descending triangle pattern before exploding during the breakout phase.

“In 2026, DOGE is about to form that same breakout phase,” the analyst predicted.

For their part, MikybullCrypto opined that the OG meme coin is at a level that could trigger a massive rally to a new all-time high, setting a target of $2.50. It is important to note that such a price explosion seems unrealistic at this time, given that Dogecoin’s market cap would need to skyrocket to over $385 billion. Currently, BTC is the only cryptocurrency with a higher capitalization than that, while ETH (the second-largest digital asset) has less than $240 billion.

Observing Some Indicators

DOGE’s Relative Strength Index (RSI) backs the bullish case shared by the aforementioned analysts. The technical indicator has dropped below 30, indicating the asset is oversold and potentially poised for a price surge. The index ranges from 0 to 100, and conversely, anything above 70 is seen as a sign of an impending pullback.

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Next on the list is Dogecoin’s exchange netflows. According to CoinGlass, outflows have outpaced inflows over the past several days, suggesting that investors have abandoned centralized platforms in favor of self-custody. This development reduces immediate selling pressure.

Decentralized exchange edgeX has attributed a more than 40% collapse in its EDGE token to ‘deliberate’ market manipulation by an unnamed external party, a claim that onchain investigator ZachXBT has dismissed.

Data from CoinMarketCap shows edgeX (EDGE) plunged from roughly $1.20 to an intra-day low of $0.3663 on Tuesday, a drop of around 70%. The token is currently trading at $0.6474, down by around 45% over the past day.

In a post on X, the edgeX team acknowledged the sudden collapse in its native token, telling its community it had “observed a sudden and irregular price movement” and was actively investigating.

In response, ZachXBT claimed edgeX’s supply had been controlled by a small number of insiders operating with a low float, making the token inherently vulnerable to these types of events. He also demanded that the project publicly disclose the counterparties and market-maker agreements that contributed to the crash.

Only 350 million EDGE tokens are currently in circulation out of a maximum supply of 1 billion, meaning more than two-thirds of the total supply has yet to hit the market. A low circulating float can make a token more vulnerable to sharp price moves, especially if liquidity is concentrated or large holders sell into thin order books.

Related: Verus bridge exploiter returns $8.5M after bounty offer

EdgeX says project not hacked

In a follow-up statement, edgeX said the platform had not been compromised in any way. “What we have identified so far suggests deliberate attempts by certain external party to manipulate the market price of EDGE,” the project wrote, calling it a market integrity issue.

However, ZachXBT was unconvinced. “We investigated ourselves and did not find ourselves guilty even though we control nearly the entire supply,” he sarcastically wrote.

Source: CoinMarketCap

EdgeX is the 16th largest DEX in terms of trade volume over the past day, according to data from DefiLlama. The project has a total value locked (TVL) of $137 million.

Related: Recovery hopes fade as Kelp DAO hacker launders nearly all $220M in stolen funds

DEX trading volume declines

DEX trading volume across all chains has also pulled back sharply from its peak levels.

The broader pullback in DEX activity can make thinly traded tokens more vulnerable to sharp moves, though EDGE’s crash also involved project-specific questions over supply, market makers and insider control.

After hitting a spike close to $45 billion in early 2025, aggregate decentralized exchange volume has trended lower and largely stabilized in the $5 billion to $20 billion daily range through the first half of 2026, with a secondary peak around $30 billion in October 2025 before fading again, according to data from DefiLlama.

DEX trade volume. Source: DefiLlama

The cooling activity reflects a broader retreat in onchain trading appetite following the frenzy of early 2025, leaving DEX markets thinner and more vulnerable to outsized price impacts.

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SEC Puts Crypto Rules at the Front of Its Policy Agenda

The Securities and Exchange Commission (SEC) published a draft strategic plan on June 2 that places crypto rules in the first objective of its first regulatory policy goal. The ordering gives digital assets a prominent role in the agency’s 2026-2030 regulatory agenda.

Goal 1 focuses on innovation, capital formation, market efficiency, and investor protection. Its first objective calls for a firm regulatory foundation for digital assets and distributed ledger technologies. The securities watchdog says that framework should be rational, coherent, and principled. The language points to clearer rules across crypto markets, tokenized products, and onchain financial infrastructure.

The SEC draft plan states:

“ Blockchain and crypto asset technologies have the potential to revolutionize America’s financial infrastructure and deliver new optionality, efficiencies, cost reductions, transparency, and risk mitigation for the benefit of all Americans.”

Crypto’s growth has moved faster than existing regulatory structures, according to the plan. That gap affects token issuers, exchanges, custody providers, and firms developing blockchain-based financial infrastructure. The SEC also points to the need for greater clarity on how federal securities laws apply to digital assets. Clearer rules could help innovators meet those obligations while supporting market integrity and protecting investors.

Why the SEC’s Crypto Framework Could Matter for Investors

The plan identifies harmonization as a central objective for crypto oversight. The SEC says digital asset markets need clear and principled rules anchored in statute, giving firms and investors a more consistent basis for market decisions.

That framework could affect how crypto firms design products, structure token offerings, and manage custody or trading services. The draft also points to compliant tokenized capital formation and onchain financial infrastructure as areas where clearer rules may guide development.

SEC draft adds:

“This harmonization seeks to ensure that the crypto markets have clear and principled rules of the road, anchored in statute, that promotes innovation while maintaining the highest degree of investor protection.”

The plan’s reach could extend beyond crypto-native businesses. Asset managers, public companies, fintech firms, and investors may all be affected as tokenized assets become more integrated into regulated markets.

The proposal remains subject to public comment before the SEC finalizes the strategic plan. That process could give market participants, investor advocates, and technology firms a chance to shape the agency’s long-term approach to digital assets.

The document presents digital assets as part of a broader modernization effort that ties crypto policy to capital formation, market efficiency, and investor protection. It also points to legal certainty as a priority, suggesting clearer rules could help blockchain-based products develop within federal securities laws while giving market participants a more predictable path for compliance.

Coinbase’s IQMM Investment Points to a New Reserve Era for Stablecoins

Crypto exchange Coinbase Global Inc. (Nasdaq: COIN) announced on June 2 that it invested in Proshares’ GENIUS Money Market ETF, IQMM. The fund is built for stablecoin reserve eligibility under the Guiding and Establishing National Innovation for U.S. Stablecoins Act (GENIUS Act). The move pushes Coinbase deeper into stablecoin cash management.

Issuers now face rising pressure to hold liquid, high-quality assets. The GENIUS Act set a 1-to-1 backing standard for payment stablecoins. IQMM is structured around short-term U.S. Treasurys with maturities of 93 days or less, cash, and cash equivalents.

Coinbase said:

“As stablecoins become core to financial infrastructure, the industry needs better ways to manage the money that supports them.”

For the crypto firm, the fund adds another piece to its stablecoin strategy. That strategy already includes payments, distribution, and developer tools. Stablecoin competition may increasingly depend on reserve quality, redemption reliability, and institutional cash-management options as the market becomes more regulated.

The investment also reflects a broader push toward responsible stablecoin growth. Policy is beginning to define acceptable reserve assets and operating standards for issuers that want to serve mainstream financial users.

The GENIUS Act passed the Senate on June 17, 2025. The House passed the bill on July 17, 2025. President Donald Trump signed it into law on July 18, 2025, creating a federal framework for payment stablecoins.

Proshares ETF Infrastructure Could Help Bridge Crypto and Traditional Markets

Proshares’ fact sheet describes IQMM as the world’s largest money market ETF and the first designed to meet GENIUS Act requirements. As of March 31, 2026, the fund carried a 3.48% 30-day SEC yield, weekly distributions, and a 0.15% net expense ratio.

Its holdings centered on Treasury bills, with 100% daily and weekly liquid assets. That structure gives stablecoin issuers an ETF-based vehicle tied to short-duration government debt. It also shows how ETF products may become part of the reserve toolkit for digital-dollar markets.

Coinbase said:

“IQMM is built around a simple idea: as stablecoins scale, issuers need reserve tools built for this market.”

Proshares brings two decades of ETF experience to a market that overlaps with crypto, money markets, payments, and capital markets. Coinbase’s support for IQMM signals that stablecoin reserve management may move beyond narrow banking channels as issuers seek more flexible options.

Coinbase expects future creation and redemption activity to use a broader mix of cash-like instruments. Those instruments may include Treasurys, ETFs, money market funds, and tokenized versions of those products. That shift could connect stablecoin operations more closely with traditional-market plumbing.