According to @KookCapitalLLC, the crypto market may be in a max pain setup after a broad leverage flush across perp DEX users and wallet-integrated perps, with the author asserting that new all-time highs could arrive within weeks rather than years; this reflects trader sentiment rather than verified data, source: @KookCapitalLLC on X, Oct 12, 2025. Historically, sharp reductions in aggregate futures open interest alongside negative perpetual funding rates have preceded short-squeeze rallies and mean-reversion pops, making this a critical regime for traders to monitor, sources: Glassnode research 2023; Kaiko derivatives market reports 2023. Traders should track total open interest, perp funding rate dispersion across major exchanges, liquidation heatmaps, spot-futures basis, and order-book depth to gauge squeeze risk, liquidity gaps, and timing for entries and exits, sources: Glassnode 2022–2023; Kaiko 2023; Binance Research 2023. Claims that 75 percent of participants were wiped out are unverified and should be treated as sentiment; validate any alleged wipeout using on-chain and exchange data before positioning, sources: @KookCapitalLLC on X, Oct 12, 2025; Glassnode research 2023. A max pain rally narrative increases the probability of crowded re-risking and forced short covering if funding stays negative while spot demand rises, so use disciplined risk controls and monitor funding, basis, and liquidity in real time, sources: Kaiko 2023; Deribit Insights 2022.