Bitcoin Long Position Imbalance May Have Driven Recent Drop to $81,900

Bitcoin rose 2.5% to $86,129 after a sharp decline. Analyst Joao Wedson says the drop stemmed from an unprecedented imbalance where long contracts vastly outnumbered shorts, creating excessive bullish leverage that destabilized the market. Current positioning shows approximately 71,000 BTC in long contracts versus 27,900 BTC in shorts.