Bitcoin's recent surge towards $90,000 has led to significant euphoria in the market, according to QCP Capital. The rise in perpetual funding rates and basis yields indicates that potential leverage washouts may occur. Elevated funding rates for perpetual futures have reached 0.056%, suggesting that bullish positions are becoming overcrowded, which could trigger cascading sell-offs if prices retract slightly. Open interest has surged, reflecting bullish sentiment, but this could lead to risks of over-leveraged positions closing abruptly in the event of a pullback. QCP Capital maintains a structurally bullish outlook but warns traders to be cautious of impending corrections, as history shows sharp increases in basis yields often precede market adjustments. As BTC reached a high of $89,622 before settling around $88,300, the market experienced nearly a 30% gain over just seven days, highlighting the volatility typical of such bullish phases.

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