Data shows the Bitcoin Coinbase Premium Gap recently broke its longest ever streak of positive values. Here\u2019s what this could mean for the market.<\/p>\n
In a new post<\/a> on X, CryptoQuant community analyst Maartunn has talked about the recent trend in the Bitcoin Coinbase Premium Gap. The \u201cCoinbase Premium Gap<\/a>\u201d refers to an indicator that keeps track of the difference between the BTC price listed on Coinbase (USD pair) and that on Binance (USDT pair).<\/p>\n The former cryptocurrency exchange is primarily used by US-based investors, especially large institutional entities<\/a>. The latter, on the other hand, has a global userbase. As such, the Coinbase Premium Gap essentially tells us about how the buying or selling behaviors differ between the American and foreign whales.<\/p>\n When the value of the metric is positive, it means the cryptocurrency is listed for a higher price on Coinbase than Binance. Such a trend implies buying pressure is stronger (or selling pressure is weaker) on the former as compared to the latter.<\/p>\n On the other hand, the indicator having a negative value implies Binance is the platform observing a net higher accumulation as its users have pushed BTC to a higher value than on Coinbase.<\/p>\n Now, here is a chart that shows the trend in the 30-hour moving average (MA) of the Bitcoin Coinbase Premium Gap over the past year and a half:<\/p>\n As displayed in the above graph, the 30-hour MA Bitcoin Coinbase Premium Gap has mostly held a positive value for a while now, indicating that Coinbase users have been buying.<\/p>\n This accumulation was so consistent earlier that it managed to reach a streak of 94 days, but recently, a dip into the negative territory finally broke it. \u201cThis was the longest streak in history,\u201d notes the analyst.<\/p>\n Since the start of 2024, US institutional investors have generally played a driving role in the market, with the price often showing correlation<\/a> to the Coinbase Premium Gap. Given this pattern, a pivot to selling from this group can naturally be a bearish sign for Bitcoin.<\/p>\n