The whole premise of a coaching staff is to maximize the productivity of what a player does or can do well, while finding minutes for other players, at the position or spots on the floor, where they also can do well.
If you remove Hyatt from the 4 spot, you lose a lot of shooting and rebounding capabilities. So while fans are trying to figure out why Hyatt would play at possibly the 2 or 3 (which are kinda the same to me), it comes down to defense/rebounding staying intact, without losing the scoring or threat of a shooter coming off the court (Hyatt).
This is really also more about Wolf and his improvements AND is also about the staff reducing the risk of what happens when Mag isn't on the floor. The goal is to find someone else beyond Mag and Caleb McConnell on this year's roster, who can defend. YES, Mag is back, but we cannot expect top level lateral quickness defense for 30+ minutes a game from him.
So there are tons of minutes and defensive possessions, where someone else other than Mag at the wing or 4, has to run, jump, be at the top of the press and play with quickness. Wolf is being groomed to play the Mag role, so we are not "Mag-reliant".
So lineups like Simpson or Fernandes, with Griffiths and Hyatt at 2 or 3 (depending on the opponent or matchup), with Woolfolk and Cliff....or Mag and Cliff, is probably more likely to happen than most lineup combinations.
Now, if Jeremiah Williams, was somehow granted a waiver and was eligible to play most of the season instead of missing half of this season, then this all goes out the window.
But Hyatt is going to play 26 to 32 minutes a game, unless there's a ton of fouls called on him. And that means playing at the 4, 3 and 2.
Woolfolk being slimmed down 20 pounds, means he is closer athletically to Mag before Mags injury. I think the staff sees Mag and Woolfolk as the 2 "must-have to play good defense", players that have to be on the court for 35 out of 40 minutes. Whether they split time at the 4 or if Woolfolk is at the 5 and Mag the 4, only gives is more defense and switching capabilities.
I think if Jeremiah Williams gets a waiver and plays all season long, this is a Sweet 16 type of roster. That's how talented and capable defensively, Williams can be, while providing significantly better offense than what we saw at PG last year.