HYPE’s $200M Catalyst

Welcome back to The Warmup.

It’s Wednesday and $HYPE’s USDH is right in the middle of the stablecoin war, pulling the spotlight its way.

Here’s what we’re watching:

• Market Snapshot

• Hyperliquid’s USDH Bidding War Heats Up

• Ethereum Swing Long

• OpenSea Sets the Stage for $SEA

Market: Majors are flat with BTC steady, ETH a touch lower at $4,400, and XRP easing to $2.97. SOL stands out as the leader at $220, while STORY, MNT, and PUMP are the day’s top movers.

Hyperliquid’s USDH Bidding War Heats Up

What’s going on:

Hyperliquid, the rising perps DEX and blockchain stack, is launching its native stablecoin USDH and instead of quietly picking an issuer, they’ve put it to a community vote. That decision has sparked one of the hottest debates in crypto right now.

The bidders include some of the biggest names in the game:

• Paxos: pushing its global compliance edge, offering 95% of treasury interest back to HYPE buybacks and ecosystem rewards.

• Frax Finance: proposing a DeFi-first approach, with USDH backed by frxUSD and all yield flowing back to the community.

• Agora (with MoonPay, LayerZero, Rain): selling neutrality and GENIUS Act compliance, with revenue funneled to HYPE buybacks and the Assistance Fund.

• Native Markets: an internal player focused on compliance, pledging a share of reserves to the Assistance Fund.

Meanwhile, HYPE has already ripped past $50 to new all-time highs, with the first USDH vote scheduled for September 14.

What it means:

Hyperliquid isn’t just launching another stablecoin, it’s turning USDH into a prize everyone wants to control. Each bidder offers a different vision, but most roads lead back to one thing: stronger demand for HYPE.

If votes line up with incentives, the outcome could turn into a massive catalyst for both the stablecoin and Hyperliquid’s ecosystem.

Ethereum Swing Long

What’s going on:

ETH is bouncing off key support levels and is currently trading above the EMA200 (blue) on the 4H chart. This signals renewed strength and potential continuation higher.

Key levels we’re watching:

• Entry: $4,200–$4,300 → DCA zone

• Targets: $4,440 / $4,500 / $4,660 if momentum holds

• Stop loss: $4,100 (invalidates setup, will update in real time)

Directional Bias: Cautiously bullish

ETH continues to defend higher time frame support and is reclaiming trend strength above the EMA200. Momentum confirmation above $4,440 opens the door to higher upside.

What we’re waiting for:

• Clean bounce continuation above EMA200

• DCA entries in the $4,200–$4,360 zone with spot or low leverage

• Volume confirmation on push through $4,440

ETH isn’t without risk, but the setup offers favorable risk/reward if support holds and momentum accelerates toward the $4,500–$4,660 zone.

OpenSea Sets the Stage for $SEA

What’s going on:

OpenSea is making a big push to be more than just an NFT marketplace. It’s latest announcement positioned it closer to an onchain trading superapp, with AI at the core, a cultural treasury, and a final rewards sprint ahead of the $SEA token launch.

The updates included:

• A redesigned OpenSea Mobile app with AI-native trading.

• A Flagship NFT Collection, seeded with seven figures, starting with CryptoPunk #5273.

• A final pre-TGE rewards phase, beginning September 15, where 50% of all platform fees funnel into user rewards.

The rewards program will include a $1M “prize vault” funded with OP and ARB, Starter Treasure Chests for users, and progression via daily Voyages, Shipments, and trading across 22 chains. Historical users will also receive an allocation of $SEA at TGE based on past activity.

What it means:

This is one of the most bullish product pushes in OpenSea’s history.

AI-native mobile could finally make its app competitive. The Flagship NFT fund signals cultural alignment with core NFT communities. And funneling half of platform fees into rewards will drive activity, even if fees are now doubled.

With rewards kicking off Sept 15 and token details expected in early October, OpenSea has clear catalysts to spark volume, attract attention, and prime users for the $SEA launch.

• Japanese bitcoin treasury firm Metaplanet raises $1.4B

• Sam Altman-backed digital ID project World's WLD token jumps with Eightco treasury launch

• Eric Trump will have reduced board role at WLFI treasury company Alt5 Sigma

Global liquidity (the money flowing through markets) just hit a record $184.6 trillion.

The jump comes from calmer bond markets and central banks like Japan’s and Europe’s easing off on tightening, though the Fed, China, and a stronger dollar are slowing things a bit.

More money in the system has been a boost for stocks, Bitcoin, and gold, which have all done well in Q3.

Investors are leaning “risk-on,” especially in Japan and emerging markets, while Europe and China look more cautious.

— The Warmup Team

Always do your own research. This newsletter is supplemental material to help educate readers as they make their own decisions. Projects mentioned here are provided to give a potential early-mover advantage.