The Coinbase Premium Gap, which measures the price difference between Bitcoin on Coinbase, the primary exchange for US-based institutional and retail investors, and its price on offshore platforms such as Binance, stayed in negative territory for the entirety of Bitcoin’s correction from $95,000 to the mid-$60,000 range.
Whenever the Coinbase Premium Gap is negative, it usually means that traders in the United States are selling Bitcoin at a faster pace than buyers are stepping in. A positive gap indicates the opposite dynamic of demand from US investors pushing Coinbase prices higher relative to the price in the global market.
Notably, the metric entered a sustained negative zone on January 1 and held there through March 7, which is a period during which US spot demand was largely absent among crypto investors
According to his observation, the last two major bear-market lows occurred below the 300-week exponential moving average (300W EMA). In both cases, Bitcoin fell more than 15% beneath the indicator before the final bottom was established.
Featured image from Pexels, chart from TradingView
