Bitcoin rally driven by leveraged traders, not U.S. buyers

Bitcoin's recent surge past $80,000 was primarily fueled by leveraged futures traders rather than U.S. spot buyers, raising questions about the rally's sustainability. Data indicates that offshore demand and perpetual futures activity outpaced traditional U.S. institutional involvement, as evidenced by a persistently negative Coinbase Premium. This pattern, historically associated with less durable price increases, mirrors conditions seen in March 2022. Analysts are closely watching the $70,000 level as a key support zone, representing the average cost basis for short-term traders, which could limit further downside if the current momentum falters.