#CryptoClarityAct Altcoin momentum is picking up, but a surge in open interest, particularly among small caps, signals the market’s growing reliance on leverage that could quickly unravel.
Social hype points to growing optimism about capital outflows from Bitcoin, but technicals show many altcoins still trailing previous highs, making the situation fragile.
If resistance levels are broken, volatility is likely to spike as leveraged positions are unwound, so astute traders are keeping a close eye on open interest/market cap ratios and liquidity flows.