♠️Coinbase Premium Index
We are looking at the Coinbase Premium Index data, one of the most important leading indicators to understand the recent pullback in Bitcoin.
It measures the price difference between Coinbase (USD) and Binance (USDT).
Green (Positive): US institutional investors are buying.
Red (Negative): There is selling pressure on the US side.
📉The deep red area we see on the far right of the graph proves that the main fuel of the current decline is sales originating from the US. As the price drifts below the 120k levels, the increase in the discount on Coinbase indicates that institutional appetite is currently weak.
*In the past, such deep red areas (for example, early January) have generally been places where local bottoms have formed. The selling pressure has reached "extremity" levels.
-The shortening of the red columns and their return to green will be the first sign that institutional buyers are entering the game saying, "this is cheap."
In summary, the market is currently trying to digest the sales from the US side. Our eyes are on when this difference on the Coinbase board will close.