According to Miles Deutscher, Bitcoin's open interest has surged by 7.2%, approximately $2.4 billion, within the past 24 hours. This increase is driven by leveraged long positions, which could lead to volatility on lower timeframes if spot buyers lose momentum.

According to glassnode, the 7-day average funding rate has fallen to 0.004%, marking an 85% decrease from its December peak of 0.026%. This decline suggests a reduction in demand for leveraged long positions and a weakening speculative appetite. Without a resurgence in leverage, cryptocurrency price action may remain volatile, impacting trading strategies and market dynamics.