Analyst: The rebound of Bitcoin is mainly driven by the liquidation of short futures, with the intensity of short squeeze on Binance rising to a nearly two-year high

CryptoQuant analyst BorisD stated that the main driving force behind this round of Bitcoin's rise is not spot buying, but rather passive buying triggered by the concentrated liquidation of short positions in the Binance futures market.

Data shows that Binance's short squeeze value reached 6.94 this week, higher than the 5.38 in November 2024, marking the highest level since then. If there is a lack of sustained spot demand to support it, the futures-driven rebound may still face the risk of a pullback after the momentum weakens.