As per TechFlow, HYPE's strong buyback mechanism and revenue support have drawn positive attention, but several structural and macroeconomic factors may make it a less attractive investment. From November 29, 2025, 37% of the total supply will unlock over 24 months, creating potential supply pressure of $200 million per month. In comparison, the 2025 buyback budget is $644.64 million, covering only 25-30% of the daily unlock. Additionally, HYPE's valuation is largely based on bullish data, and a potential bear market could trigger a 'Davis double kill' scenario due to its 91% reliance on trading fees. While HYPE remains a long-term investment candidate, the mid-term risks from token unlocks, revenue cyclicality, and macroeconomic shifts outweigh current valuation benefits.
Why HYPE May Not Be a Sweet Investment in the Mid-Term
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