Bitcoin fell toward the $63,000 mark on Friday as the Coinbase premium indicator remained negative for a record 60 consecutive days, signaling continued selling pressure from US-based investors.
The decline coincided with a broader sell-off in technology stocks, with chip makers leading the downturn. The negative Coinbase premium, which measures the price difference between Bitcoin on Coinbase and on Binance, suggests that American institutional investors have been net sellers of the cryptocurrency over an extended period. When the premium is negative, Bitcoin tends to trade at a lower price on Coinbase relative to other exchanges.
The 60-day streak represents the longest period of negative Coinbase premium on record, surpassing previous stretches during bear market conditions in 2022 and 2023. Analysts view the indicator as a gauge of institutional sentiment, as Coinbase is the primary venue for US institutional flows while Binance caters more to global retail traders.
ETF flows have also remained thin, adding to the subdued demand picture. Spot Bitcoin ETFs have seen inconsistent inflows in recent weeks, failing to generate the sustained buying pressure needed to push prices higher.
Despite the persistent weakness, some market observers note that the extended negative premium could eventually signal an oversold condition. Historically, prolonged periods of negative Coinbase premium have preceded price recoveries when institutional demand returns.
Bitcoin’s price action remains range-bound, with the $60,000 to $62,000 zone serving as critical support and the $68,000 to $70,000 range offering resistance. Traders are watching for signs of a catalyst that could break the impasse, with macroeconomic data and regulatory developments remaining the primary drivers of sentiment.
This article was adapted from The Block. Read the original here.
