QCP Analysts Predict Bitcoin Gamma Squeeze Above $94,000

Bitcoin rose by 2.6% in the Asian session, reflecting post-Christmas trading dynamics.

The leading cryptocurrency rose by approximately 2.6% during the Asian session, mirroring trading dynamics following Christmas. Analysts at QCP Capital attributed the volatility spikes to low liquidity in the “holiday market.”

Experts noted that the rise was not triggered by a cascade of short liquidations — the volume of closed positions was less than $40 million.

The primary driver was purchases in a “thin market”. Additional demand may have been created by Michael Saylor: the founder of Strategy hinted at new Bitcoin acquisitions, which spurred buyers into action.

Back to Orange. pic.twitter.com/J3lnpOObER

— Michael Saylor (@saylor) December 28, 2025

Analysts also recorded a spike in funding rates for perpetual contracts on Deribit above 30%. After the options expiry on October 26, market makers shifted positions towards “short gamma”: as prices rise, they are forced to buy the asset for hedging, creating a feedback loop.

This mechanism was evident when breaking through $90,000. Further consolidation above $94,000 could trigger a full-fledged gamma squeeze and accelerate the rally.

Risks and Forecasts

The support level of $86,000 held firm, despite outflows from ETFs and selling pressure during the American session. Demand for protective put options decreased: major players did not roll over December puts with a strike of $85,000.

QCP warned that it is too early to draw conclusions about a long-term trend. Following a record expiry, open interest fell by 50%. A significant portion of capital remains out of the market.

Trading is likely to continue without a clear trend until the end of the year. Volatility is expected to return once traders begin to rebuild positions in January, analysts concluded.

Earlier, Wintermute experts highlighted the concentration of capital in Bitcoin and Ethereum.