Bitcoin Faces a “Boring” Summer While HYPE Attracts Institutional Interest — Bloomberg

The upcoming summer is expected to be “boring” for Bitcoin: no major crash, but rather a period of accumulation ahead of a renewed bullish trend later on. This forecast was presented by Bloomberg ETF analyst James Seyffart.

According to the analyst, institutional investors may increasingly adopt the “sell in May and go away” mentality, viewing this as a standard cyclical pause before a new wave of activity returns in autumn.

An analysis of the latest institutional 13F filings for Q1 related to BTC ETFs showed no major structural changes, only modest outflows.

SOL ETFs

Most of Seyffart’s discussion focused on recent developments in the crypto ETF sector. The analyst highlighted Morgan Stanley’s upcoming launch of a Solana-based product featuring built-in staking functionality.

The investment bank may introduce an extremely competitive fee structure (for comparison, BTC ETFs currently charge around 14 basis points).

Seyffart explained that this move reflects a “Bring Your Own Assets” strategy aimed at keeping clients within the firm’s ecosystem before offering them traditional financial services.

Morgan Stanley is also attempting to capture greater market share rather than focusing solely on maximising profitability.

The analyst noted the growing dominance of staking-enabled SOL ETFs, while similar functionality is “still lacking” in Ethereum ETF products.

HYPE Instead of DOGE

Seyffart also pointed out the lack of excitement surrounding ETFs based on Dogecoin amid sideways or declining momentum across the broader altcoin market.

In contrast, Hyperliquid stands out after recently reaching a new all-time high above $62.5.

ETF inflows into HYPE-related products from 21Shares and Bitwise reached $64 million over seven trading days, with two-thirds of that amount arriving during the last two sessions.

The Bloomberg analyst linked investor interest to the platform’s “real revenue-generation model”: the greater the trading volume, the stronger the token burn and supply deflation, resembling stock buyback mechanisms.

According to Seyffart, the platform’s dominance — accounting for 43% of all network fees — and its ability to provide pricing even during weekends for assets such as oil or pre-IPO equities like SpaceX is attracting traditional TradFi traders seeking around-the-clock liquid contracts.

He also noted that many financial professionals have already begun referencing Hyperliquid market data without even realising they are citing a perpetual futures DEX.

See also: "Binance XRP Withdrawals Reach Their Highest Level Since April"

#Solana (SOL) #Hyperliquid (HYPE) #Investment

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