Bitcoin (BTC) has experienced a remarkable surge in recent weeks, breaking free from its downward trend and surpassing the $125,000 mark. The rise, attributed by QCP Capital, a renowned cryptocurrency analysis firm, to the involvement of retail investors, indicates growing demand for the digital asset. 27-year old Bitcoin is now trading at its highest point in months, with analysts highlighting this trend to be driven by enthusiastic retail investors and no major selling wave following the recent gains. This suggests that large whales have likely finished their selling activity, and expect further increases in October. However, QCP Capital also points out a significant risk of volatility. This is due to increased long positions (leveraged bets) on the asset reflected in BTC-PERP funding rates at 35% on Deribit and 29% on Hyperliquid, although these haven’t yet triggered major liquidation events, creating a potential flash crash. QCP Capital urges caution for investors as they are still recovering from previous crashes. While strong retail demand, coupled with safe-haven buying spurred by the recent US government shutdown, has contributed to this rally, analysts predict a continuation of the upward trend in October, thanks to favorable macroeconomic conditions and historical seasonality. However, ultimately, the fate of BTC’s continued rise will be determined by institutional flows and macro factors.