Mouse not working under Wayland

Hi! I am using Unreal Engine on Linux, and my laptop display requires fractional scaling, so I have to use Wayland (Hyprland compositor). Unreal Engine has issues on Xwayland for me, especially with context menus or anything that requires dragging, as well as sometimes going into a state where it renders one frame every few seconds until restarted. Additionally, due to X11’s lack of fractional scaling support, the editor gets scaled up and becomes very blurry under Xwayland.

However, when I launch the editor with the environment variable SDL_VIDEODRIVER=wayland to force it to use Wayland, I am unable to click any buttons, and hovering also is not responded to. It’s as if Unreal Engine does not see my mouse at all. Keyboard interaction still works fine. How can I troubleshoot this? Am I setting something up wrong?
I am using Unreal Engine version 5.1.1-23901901+++UE5+Release-5.1, on Arch Linux.