Bitcoin Surges Above $100,000 Driven by Margin Trading Not New Buyers

Bitcoin briefly surpassed $100,000 this month, reaching nearly $108,000 before retracting. The surge largely stemmed from traders using borrowed funds rather than new buyers.

Speculative Bets Fuel Recent Rally

High trading volume in Bitcoin futures indicated short-term speculative activity.
Funding rates and three-month futures basis decreased, showing less bullish sentiment.

Spot Market Remains Quiet

Daily spot volume peaked at $7.65 billion in May, well below previous highs of over $20 billion.
Retail and long-term holders have not significantly entered the market.

Institutional Buyers Still Adding

Michael Saylor's Strategy, Metaplanet, and ProCap BTC purchased about $1 billion in Bitcoin.
US-listed Bitcoin ETFs bought over $1.5 billion in fresh supply.

Supply Tightness Could Drive Prices

Only 7 million BTC are available on exchanges; 14 million BTC remain unmoved.
This supply squeeze may support prices but could also lead to significant drops if selling occurs.

As of June 28, Bitcoin traded at $106,500, down 0.85%. Investors are monitoring for renewed spot demand or stabilizing futures bets to assess market strength.