Levante entered the season with the goal of avoiding the drop, but with its 3-0 win at Villarreal on Sunday it became the sole leader of Spain's first division for the first time in its 102-year history.
The Spanish minnow will be aiming to add to its club-record six straight victories in order to maintain a one-point lead over second-place Real Madrid, which plays struggling Villarreal later Wednesday.
Defending champion Barcelona is two points behind Levante and will seek to add pressure on the pacesetter Tuesday when it visits Granada looking to bounce back from its 0-0 draw with Sevilla.
"Levante is a good example for everyone of what team sports should be," said Barcelona coach Pep Guardiola. "It would not be where it is today without the effort of the entire changing room." Levante, which has the smallest budget in Spain's first division at just €21 million ($28 million), has already beaten Madrid and big-spending Malaga to remain undefeated through eight games thanks to its disciplined defense and teamwork.
Sergio Ballesteros, the 36-year-old captain, anchors the topflight's most veteran back four - one that has allowed a league best three goals.
Coach Juan Ignacio Martinez, who had spent 14 seasons coaching in the lower divisions before joining Levante this summer, has implemented a counterattacking style that has led to six players chipping in to score Levante's 14 goals.
"It is a miracle that a team like Levante is leader with the lowest budget in the first division. With what one player of Barcelona or Real Madrid makes you could pay the salaries of 25 players of this squad," said forward Juanlu Gomez, who leads Levante with five goals.
"This is very special, but we all know that everything will get back to normal and we will be fighting for our lives to stay up come season's end," he said.
After a shaky start to the season, Madrid has won its last six games in all competitions in commanding fashion, outscoring its opponents 25-3.
Cristiano Ronaldo leads the team with ten league goals after a hat trick at Malaga on Saturday, while coach Jose Mourinho will again have to choose between inform strikers Gonzalo Higuain and Karim Benzema.
Villarreal continues its disappointing season with only one win in all competitions and will again be without injured striker Nilmar.
Barcelona saw its start of four straight league wins at Camp Nou stadium end on Saturday when Sevilla goalkeeper Javi Varas blocked Lionel Messi's penalty in stoppage time, letting both Levante and Madrid move ahead in the standings.
But Barcelona right back Dani Alves said his team's morale has not been shaken by the draw.
"It's tough, but in no way does it affect us to the extent that we doubt in ourselves," Alves said. "We are a great team, win, lose or draw. That's what we have proven until now, and one bad result is not going to change that." Promoted side Granada has scored a league worst two goals while proving tough at home with just one loss so far this season.
The European champions will be bolstered by the return of Spain midfielders Andres Iniesta and Cesc Fabregas from injury, but will be without center backs Gerard Pique (leg) and Carles Puyol (groin).
Elsewhere on Tuesday, undefeated Sevilla tries to maintain its perfect home form against last-place Racing Santander.
Atletico Madrid hopes to break a run of four league games without a win as it visits Athletic Bilbao on Thursday, while Espanyol goes for its third straight victory against struggling Real Betis fresh off its fourth consecutive defeat.
Also on Wednesday, it's: Zaragoza vs. Valencia, Getafe vs. Osasuna, Rayo Vallecano vs. Malaga, and Mallorca vs. Sporting Gijon.
