{"id":669676,"date":"2025-01-02T22:00:30","date_gmt":"2025-01-02T22:00:30","guid":{"rendered":"https:\/\/wncen.com\/?p=669676"},"modified":"2025-01-02T13:49:13","modified_gmt":"2025-01-02T13:49:13","slug":"bitcoin-coinbase-premium-ftx-crash-bottom","status":"publish","type":"post","link":"https:\/\/wncen.com\/bitcoin-news\/bitcoin-coinbase-premium-ftx-crash-bottom\/","title":{"rendered":"Bitcoin Coinbase Premium Sinks To Lowest Since FTX Crash: Bottom In?"},"content":{"rendered":"

Data shows the Bitcoin Coinbase Premium Index has witnessed a plunge to two-year lows recently. Here’s what this could mean for BTC’s price.<\/p>\n

Bitcoin Coinbase Premium Index Has Plummeted Over The Past Month<\/h2>\n

As explained by an analyst in a CryptoQuant Quicktake post<\/a>, the BTC Coinbase Premium Index has seen a sharp drawdown into negative territory recently. The “Coinbase Premium Index<\/a>” here refers to an indicator that keeps track of the difference between the Bitcoin price listed on Coinbase (USD pair) and that on Binance (USDT pair).<\/p>\n

This metric’s value can tell us about the difference in the buying and selling behaviors of the investors present in the two cryptocurrency exchange giants. More specifically, the indicator represents how the moves of the American institutional entities (the dominant force on Coinbase) differ from those of the global whales.<\/p>\n

When the Coinbase Premium Index has a positive value, it means the asset is trading at a higher rate on Coinbase than on Binance. Such a trend implies that US-based whales participate in a higher amount of buying (or a lower amount of selling) than global investors.<\/p>\n

Related Reading: Bitcoin Decline Continues: Is $86,800 The Level To Watch?<\/a><\/div>\n

On the other hand, the metric being under the zero mark suggests that Binance users are the ones taking part in the higher amount of buying, as the coin is going for a higher price there.<\/p>\n

Now, here is a chart that shows the trend in the Bitcoin Coinbase Premium Index over the past year:<\/p>\n

\"Bitcoin
The value of the metric appears to have been sharply going down in recent days | Source: CryptoQuant<\/a><\/figcaption><\/figure>\n

As displayed in the above graph, the Bitcoin Coinbase Premium Index was at a positive level during the cryptocurrency’s exploration of new highs in the last two months of 2024. The pattern observed throughout the year was that the American institutional investors occupied the driving seat in the market, with shifts in buying and selling pressure from them reflecting in the asset’s price.<\/p>\n

Around mid-December, the indicator started to dip into the negative territory and has since maintained the trajectory. BTC’s spot value has also shown a downward trajectory alongside this trend, so it seems that Coinbase users continue to play a prime role in the sector.<\/p>\n

Following the latest continuation of the drop, the Coinbase Premium Index has dipped lower than the low from October. In fact, the indicator has now been at its lowest value since November 2022, more than two years ago.<\/p>\n

Related Reading: Bitcoin Sentiment Now Worst Since Mid-October: Reversal Signal?<\/a><\/div>\n

Considering that the Coinbase whales have been important for Bitcoin’s direction in the past year, the indicator being locked in a downtrend could spell further doom for the cryptocurrency’s price.<\/p>\n

That said, the asset has historically tended to bottom out when selling pressure has become too strong on Coinbase, as eventually new buyers start showing up to take coins at a cheaper rate off the hands of the sellers. The sharp negative spike alongside the FTX crash<\/a> also resulted in a major bottom for BTC.<\/p>\n

It only remains to be seen, though, whether the FUD<\/a> from the US-based investors has reached a high enough level for a bottom or not.<\/p>\n

BTC Price<\/h2>\n

Bitcoin has kicked the new year off on a positive note as the asset’s price has seen a recovery rally to the $96,600 level.<\/p>\n

\"Bitcoin
Looks like the price of the coin has been going up over the last couple of days | Source: BTCUSDT on TradingView<\/a><\/figcaption><\/figure>\n
Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com<\/div>\n","protected":false},"excerpt":{"rendered":"

Data shows the Bitcoin Coinbase Premium Index has witnessed a plunge to two-year lows recently. Here’s what this could mean for BTC’s price. Bitcoin Coinbase Premium Index Has Plummeted Over The Past Month As explained by an analyst in a CryptoQuant Quicktake post, the BTC Coinbase Premium Index has seen a sharp drawdown into negative territory recently. The “Coinbase Premium Index” here refers to an indicator that keeps track of the difference between the Bitcoin price listed on Coinbase (USD pair) and that on Binance (USDT pair). This metric’s value can tell us about the difference in the buying and selling behaviors of the investors present in the two cryptocurrency exchange giants. More specifically, the indicator represents how the moves of the American institutional entities (the dominant force on Coinbase) differ from those of the global whales. When the Coinbase Premium Index has a positive value, it means the asset is trading at a higher rate on Coinbase than on Binance. Such a trend implies that US-based whales participate in a higher amount of buying (or a lower amount of selling) than global investors. Related Reading: Bitcoin Decline Continues: Is $86,800 The Level To Watch? On the other hand, the metric being under the zero mark suggests that Binance users are the ones taking part in the higher amount of buying, as the coin is going for a higher price there. Now, here is a chart that shows the trend in the Bitcoin Coinbase Premium Index over the past year: As displayed in the above graph, the Bitcoin Coinbase Premium Index was at a positive level during the cryptocurrency’s exploration of new highs in the last two months of 2024. The pattern observed throughout the year was that the American institutional investors occupied the driving seat in the market, with shifts in buying and selling pressure from them reflecting in the asset’s price. Around mid-December, the indicator started to dip into the negative territory and has since maintained the trajectory. BTC’s spot value has also shown a downward trajectory alongside this trend, so it seems that Coinbase users continue to play a prime role in the sector. Following the latest continuation of the drop, the Coinbase Premium Index has dipped lower than the low from October. In fact, the indicator has now been at its lowest value since November 2022, more than two years ago. Related Reading: Bitcoin Sentiment Now Worst Since Mid-October: Reversal Signal? Considering that the Coinbase whales have been important for Bitcoin’s direction in the past year, the indicator being locked in a downtrend could spell further doom for the cryptocurrency’s price. That said, the asset has historically tended to bottom out when selling pressure has become too strong on Coinbase, as eventually new buyers start showing up to take coins at a cheaper rate off the hands of the sellers. The sharp negative spike alongside the FTX crash also resulted in a major bottom for BTC. It only remains to be seen, though, whether the FUD from the US-based investors has reached a high enough level for a bottom or not. BTC Price Bitcoin has kicked the new year off on a positive note as the asset’s price has seen a recovery rally to the $96,600 level. Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com<\/p>\n","protected":false},"author":542,"featured_media":669677,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[88240],"tags":[27251,87965,87373,92841,1119,78790,71704],"class_list":["post-669676","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news","tag-bitcoin-bottom","tag-bitcoin-coinbase-premium","tag-bitcoin-coinbase-premium-index","tag-bitcoin-ftx-crash","tag-btc","tag-btcusdt","tag-ftx"],"acf":[],"yoast_head":"\nBitcoin Coinbase Premium Sinks To Lowest Since FTX Crash: Bottom In?<\/title>\n<meta name=\"description\" content=\"Data shows the Bitcoin Coinbase Premium Index has witnessed a plunge to two-year lows recently. 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Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to. In terms of official educational qualifications, Keshav holds a bachelor\u2019s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions. Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true. Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn\u2019t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment.. Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form. Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new. As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money. Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn\u2019t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs. Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.","sameAs":["https:\/\/www.linkedin.com\/in\/keshavverma29\/","https:\/\/x.com\/https:\/\/twitter.com\/keshavvarma29"],"url":"https:\/\/wncen.com\/author\/hououinkyouma29\/"}]}},"parsely":{"version":"1.1.0","meta":{"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"Bitcoin Coinbase Premium Sinks To Lowest Since FTX Crash: Bottom In?","url":"http:\/\/wncen.com\/bitcoin-news\/bitcoin-coinbase-premium-ftx-crash-bottom\/","mainEntityOfPage":{"@type":"WebPage","@id":"http:\/\/wncen.com\/bitcoin-news\/bitcoin-coinbase-premium-ftx-crash-bottom\/"},"thumbnailUrl":"https:\/\/wncen.com\/wp-content\/uploads\/2025\/01\/btc.png?resize=200%2C200","image":{"@type":"ImageObject","url":"https:\/\/wncen.com\/wp-content\/uploads\/2025\/01\/btc.png?fit=1792%2C1024"},"articleSection":"Bitcoin News","author":[{"@type":"Person","name":"Keshav Verma"}],"creator":["Keshav Verma"],"publisher":{"@type":"Organization","name":"NewsBTC","logo":"https:\/\/wncen.com\/wp-content\/uploads\/2020\/06\/cropped-cropped-cropped-favicon.png?w=32"},"keywords":["bitcoin bottom","bitcoin coinbase premium","bitcoin coinbase premium index","bitcoin ftx crash","btc","btcusdt","ftx"],"dateCreated":"2025-01-02T22:00:30Z","datePublished":"2025-01-02T22:00:30Z","dateModified":"2025-01-02T22:00:30Z"},"rendered":"<script type=\"application\/ld+json\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@type\":\"NewsArticle\",\"headline\":\"Bitcoin Coinbase Premium Sinks To Lowest Since FTX Crash: Bottom In?\",\"url\":\"http:\\\/\\\/wncen.com\\\/bitcoin-news\\\/bitcoin-coinbase-premium-ftx-crash-bottom\\\/\",\"mainEntityOfPage\":{\"@type\":\"WebPage\",\"@id\":\"http:\\\/\\\/wncen.com\\\/bitcoin-news\\\/bitcoin-coinbase-premium-ftx-crash-bottom\\\/\"},\"thumbnailUrl\":\"https:\\\/\\\/wncen.com\\\/wp-content\\\/uploads\\\/2025\\\/01\\\/btc.png?resize=200%2C200\",\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\\\/\\\/wncen.com\\\/wp-content\\\/uploads\\\/2025\\\/01\\\/btc.png?fit=1792%2C1024\"},\"articleSection\":\"Bitcoin News\",\"author\":[{\"@type\":\"Person\",\"name\":\"Keshav Verma\"}],\"creator\":[\"Keshav Verma\"],\"publisher\":{\"@type\":\"Organization\",\"name\":\"NewsBTC\",\"logo\":\"https:\\\/\\\/wncen.com\\\/wp-content\\\/uploads\\\/2020\\\/06\\\/cropped-cropped-cropped-favicon.png?w=32\"},\"keywords\":[\"bitcoin bottom\",\"bitcoin coinbase premium\",\"bitcoin coinbase premium index\",\"bitcoin ftx crash\",\"btc\",\"btcusdt\",\"ftx\"],\"dateCreated\":\"2025-01-02T22:00:30Z\",\"datePublished\":\"2025-01-02T22:00:30Z\",\"dateModified\":\"2025-01-02T22:00:30Z\"}<\/script>","tracker_url":"https:\/\/cdn.parsely.com\/keys\/wncen.com\/p.js"},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/wncen.com\/wp-content\/uploads\/2025\/01\/btc.png?fit=1792%2C1024","amp_enabled":true,"_links":{"self":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts\/669676","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/users\/542"}],"replies":[{"embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/comments?post=669676"}],"version-history":[{"count":5,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts\/669676\/revisions"}],"predecessor-version":[{"id":669836,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts\/669676\/revisions\/669836"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/media\/669677"}],"wp:attachment":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/media?parent=669676"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/categories?post=669676"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/tags?post=669676"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}