QCP Capital: The cryptocurrency market still maintains extremely high levels of leverage, especially in the altcoin market

Singapore based cryptocurrency investment firm QCP Capital has issued a statement stating that "given Bitcoin's strong rally since the US election, we believe the target price range of $100000 to $120000 may not be too far away. As we prepare for the next wave of uptrend, the following trends and risk factors are worth paying attention to: 1. As many big players prepare for this uptrend and sell call options, the implied volatility has decreased during the uptrend. Our team has observed that with each new high, the market is selling call options and buying put options to hedge against downside risks. 2. The market still maintains a very high level of leverage, especially in the altcoin market. The high leverage buying has driven the perpetual contract funding rate up to 50% to 100%, especially in the altcoin market, where the risk of deleveraging may be significant. We believe that the strong fundamentals of Bitcoin reflect a systemic shift in the market towards Trump's return to the White House. His idea of establishing strategic Bitcoin reserves and shifting from gold to Bitcoin provides a strong narrative support for Bitcoin prices