Bitcoin Discount on Coinbase Hits 90-Day Record: Is US Demand Weakening?

According to CoinGlass data, the Coinbase Bitcoin Premium Index hit a record by remaining negative for 90 consecutive days between May 19 and August 16.

The Coinbase Bitcoin Premium Index measures the price difference of Bitcoin between Coinbase Pro and Binance. The index remaining below zero for 90 days indicates that Bitcoin is trading at a lower price on Coinbase compared to Binance.

According to CoinGlass data, the index’s latest value was recorded at -0.1066%. While this rate reveals that the Bitcoin price on Coinbase is at a relative discount compared to Binance, the 90-day negative streak stands out as the longest period in the index’s history.

Coinbase Bitcoin Premium Index hits record

In the CoinGlass chart, periods where the premium rate stays below the zero line are shown with red bars. Particularly in the recent section, the negative values becoming more frequent and prominent indicates that selling pressure is prevailing in the price difference between Coinbase and Binance.

The index trending negatively may indicate that Bitcoin buying demand in the US may have weakened or that there is more intense selling pressure on the Coinbase side. As Coinbase is a widely used exchange in the US, this data is among the monitored indicators regarding investor behavior in the region.

However, a negative premium value alone does not prove that institutional investors are continuously exiting the market. The data only shows the Bitcoin price difference between the two exchanges and generates signals regarding demand and selling pressure based on this difference. The 90-day record streak points to a period where buyer interest in the US market needs to be examined.