Leverage Fuels Bitcoin Rally Above $87K as Spot Demand Remains Weak

Bitcoin has broken above $87,000, but its rally is now facing a significant test as leverage expands faster than underlying spot demand indicators.

The leading cryptocurrency reached $87,052.64 after surging past its late-September high, with derivatives traders driving the move forward at an increasingly rapid pace.

Open interest jumped 9.12% to $29.2 billion over 24 hours, outpacing Bitcoin's price growth and signaling a substantial increase in leveraged capital sensitive to the next price move.