Bitcoin Price Could Hit $90K After Short Squeeze, But Rising Leverage Sparks Warning

Bitcoin (BTC) may be poised to test the $90,000 mark following a short squeeze, yet market analysts are cautioning that growing leverage could trigger fresh volatility. According to recent market data, a wave of short liquidations has fueled upward momentum, but the buildup of leveraged positions raises the risk of a sharp correction. Traders are closely watching BTC price action as it approaches this key psychological level, with many warning that excessive leverage often precedes sudden pullbacks. The crypto market remains highly sensitive to derivatives activity, and any spike in funding rates or open interest could signal an impending squeeze in the opposite direction. Investors are advised to monitor on-chain metrics and leverage ratios before making decisions.