What Are Wall Street and Analysts Predicting for Hyperliquid’s HYPE Token?

Wall Street’s Corporate Crypto Treasuries Expand to Altcoins with Hyperliquid’s HYPE Token

Wall Street’s growing enthusiasm for cryptocurrency corporate treasuries is now extending beyond Bitcoin, with institutions turning their attention to altcoins like Hyperliquid’s HYPE token. However, analysts remain divided on its short-term upside potential.

What started as Michael Saylor’s controversial Bitcoin buying spree has evolved into a widespread corporate trend. A recent Wall Street Journal report reveals that U.S. companies have raised over $85 billion in 2025 to invest in cryptocurrencies—surpassing the total capital raised through IPOs this year.

Unlike in 2020, when MicroStrategy led the way alone, many companies—from toy manufacturers to semiconductor firms—are now raising capital with support from major institutional investors such as Capital Group, Galaxy Digital, and D1 Capital. This wave extends beyond Bitcoin to altcoins with potentially higher risks and rewards.

A prime example is Hyperliquid Strategies Inc. (HSI), a newly formed publicly traded company focused on building a corporate crypto treasury centered around the HYPE token, native to the Hyperliquid blockchain.

Formation of HSI: A Merger of Crypto and Biotech

On July 14, Sonnet BioTherapeutics (SONN) announced a reverse merger with Rorschach I LLC, a special purpose vehicle backed by Atlas Merchant Capital, Paradigm, and other crypto investors. This transaction will convert Sonnet into Hyperliquid Strategies Inc., shifting the business focus from biotech to crypto treasury strategy centered on the HYPE token. HSI will trade on the Nasdaq Capital Market.

At closing, HSI will hold 12.6 million HYPE tokens valued at approximately $583 million and plans to invest an additional $305 million acquiring more HYPE on the open market. This would create one of the largest institutional altcoin reserves disclosed publicly.

Bob Diamond, former Barclays CEO and Atlas Merchant Capital’s head, will chair HSI, highlighting the company’s strategic vision for Hyperliquid, which combines crypto-native innovation with traditional financial leadership.

Matt Huang, co-founder of Paradigm, noted growing institutional interest in Hyperliquid but acknowledged limited direct access to HYPE tokens in the U.S.

While Sonnet remains a subsidiary managing biotech programs, it plans to divest non-core assets. Shareholders will receive contingent value rights linked to Sonnet’s therapeutic portfolio.

The HSI board includes Bob Diamond and Eric Rosengren, former Boston Federal Reserve president, with backing from Galaxy Digital, Pantera Capital, D1 Capital, Republic Digital, and 683 Capital. The deal is expected to close in the latter half of 2025.

What Is Hyperliquid and HYPE?

Launched in 2023, Hyperliquid is a high-speed, layer-1 blockchain combined with a decentralized exchange. It offers the efficiency of centralized trading with the transparency and openness of DeFi.

Its two main components are:

• HyperCore: An on-chain order book engine supporting spot and perpetual futures trading with capacity for over 200,000 orders per second.
• HyperEVM: An Ethereum-compatible smart contract layer enabling developers to build DeFi applications integrated with HyperCore liquidity.

HYPE is the native token used for staking, governance, trading incentives, and network value capture. It ranks as the 15th largest cryptocurrency by market cap, with Hyperliquid processing over $1 trillion in cumulative trading volume.

Diverging Analyst Views Amid Strong Fundamentals

Despite institutional backing and a strong rally—from $37.41 to nearly $50 in July—analysts differ on HYPE’s valuation.

Analyst “McKenna” argues HYPE remains undervalued. Using a sales-weighted price-to-earnings (SWPE) model with trailing 30-day revenue of $3.2 million, he estimates a fair price around $77, reflecting past valuation multiples.

In contrast, “Altcoin Sherpa” praises HYPE’s fundamentals but cautions that the rapid rise may have exhausted short-term gains. Holding a small staking position, he recommends waiting for a pullback before adding exposure.

These perspectives highlight the balance between strong fundamentals and short-term speculative forces.

A New Frontier for Corporate Crypto Treasuries

Whether HYPE’s price rises or pulls back, the creation of Hyperliquid Strategies Inc. signals a shift in how companies approach crypto treasury management. Instead of focusing solely on Bitcoin, HSI is building a concentrated position in a relatively new altcoin.

With combined token holdings and cash commitments exceeding $888 million, HSI resembles a thematic crypto fund—yet operates publicly with institutional governance.

If successful, this model may inspire other firms to pursue focused investments in tokens they see as central to the future of digital finance.