BitMEX co-founder Arthur Hayes, who just days ago predicted Hyperliquid (HYPE) could surge to $150 and even surpass Solana (SOL), has suddenly announced the complete liquidation of his HYPE and NEAR Protocol (NEAR) holdings.
A long-time advocate of both tokens, Hayes recently claimed NEAR was "going to the moon." In April, he bought over 26,000 HYPE (worth roughly $1.1 million) and set a $150 price target, predicting HYPE's market cap would one day exceed Solana's. He also placed a $100,000 charity bet that HYPE would outperform the top 10 cryptocurrencies by year-end.
Yet the prolific cheerleader revealed the sell-off on X on July 24. While promising a detailed post next week, he laid out three key factors behind his decision:
Middle East Conflict Drives Energy Costs
Hayes pointed to rising energy prices from the Iran conflict and inventory replenishment, which could fuel inflation and tighten market liquidity.
AI Giant IPOs Set to Absorb Capital
He also expects three major AI companies to go public before early Q3, potentially draining speculative capital from crypto markets.
Trump May Tighten AI Policy
Hayes believes President Trump could adopt a more conservative stance on AI to boost Republican chances in the midterm elections, adding regulatory uncertainty.
Combining these factors, he sees the market topping before September and decided to lock in profits early.
Dumps HYPE, NEAR but Bullish on Worldcoin
Notably, Hayes is not entirely bearish. The day before the sell-off, he voiced optimism on Worldcoin (WLD), setting a $10 target. He said on X: "SpaceX's IPO will drive the market into full-blown mania. I'll hold WLD until SpaceX lists next week."
Hayes plans to publish a column titled The Reality Test next week. Whether he's calling a market top or simply rotating funds remains to be seen. For now, his "right hand pumping faith, left hand selling" move has left many followers stunned.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Readers should make their own decisions.