Bitcoin Climbed to $66,000 But for a Different Reason: It Reached This Level for the First Time
While the Bitcoin price rose from $64,000 to $66,000 within two days, CryptoQuant data shows that this increase is supported by high-leverage transactions rather than real demand and exhibits a fragile structure.
Although the cryptocurrency market leader Bitcoin (BTC) has pleased investors with its performance over the last 48 hours, on-chain data serves as a reminder to remain cautious. The climb from the $64,000 levels to over $66,000 stems more from activity in derivative markets than from new capital inflow into the market. According to data analyzed by expert editors, the main driving force behind this surge stands out as risk appetite in the futures markets rather than spot purchases.
According to shared charts, the amount of open interest in the market rose rapidly from the $21.2 billion level to a new peak of $23 billion. This situation proves that new leveraged positions are being opened alongside the price increase. On the other hand, spot trading volume has remained in “Cooling” mode since April. The fact that futures trading volume is at a “Neutral” level indicates that the rally is not yet settled on a solid spot foundation.
Bitcoin ETF Inflows and Spot Market Balance
On the institutional side, interest in US-based spot Bitcoin ETF products is gradually recovering. On July 20, a total net inflow of $271 million occurred into ETFs, led by BlackRock’s IBIT fund with $116.5 million. However, these institutional inflows have not yet reached a sufficient scale to revitalize overall spot volume and pull the market out of the “cooling” phase.
The current market structure carries a risk of a sharp correction if momentum fades. This is because surges supported only by leverage can lead to rapid liquidations of positions and sudden drops as the price changes direction. Seeing spot volumes truly begin to heat up before investors chase the price could be a signal that the market is settling on healthier ground.