According to QCP Research, Bitcoin’s latest rally appears to be driven by short covering rather than fresh leveraged positions, with open interest declining as BTC advanced. Strategy raised $2.01 billion through an at-the-market equity sale while keeping its BTC reserve unchanged at 840,447 BTC. Despite strong spot ETF inflows near the 95th percentile of the past year, the firm warns the rally could become fragile if short covering loses momentum. On the macro front, Treasury Secretary Bessent plans to double long-term Treasury buybacks to $4 billion per operation, pushing the dollar to a three-month low, while Iran and Hormuz Strait tensions are adding energy supply uncertainty.
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