Bitcoin traders bet big, but is this rally built on fragile leverage?

Key Points

1. Bitcoin's Open Interest holds near $42 billion with elevated Funding Rates, indicating strong leveraged bullish positioning.

2. Exchange netflows turned positive (+871 BTC in 24 hours), signaling potential sell-side activity and growing caution among holders.

3. Miners’ Position Index (MPI) is negative (-0.92), suggesting miners are holding coins, which could support the rally if the trend continues.

4. The NVT Golden Cross (-1.96) suggests Bitcoin may be undervalued relative to on-chain activity, supporting the bullish case.

5. Bitcoin's price stability above $117,000 is crucial; a break below could shift momentum, while holding may renew bullish confidence.