The most common and most likely answer to this crossword clue is the 7 letter word DAZZLED
I've seen this crossword clue in The Guardian
D
A
Z
Z
L
E
D
Buddy explains!

The straight part
We know that "Hypnotised" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case hypnotised = dazzled.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does DAZZLED mean?
DAZZLED verb- To confuse the sight of by means of excessive brightness.
- To render incapable of thinking clearly; to overwhelm with showiness or brilliance.
- To be overpowered by light; to be confused by excess of brightness.
- Experiencing dazzlement; overcome by light or brilliance.
- Painted in dazzle camouflage.