Bitcoin’s Coinbase Premium Indicator Turns Negative Ahead of CPI Release
The Coinbase premium indicator for Bitcoin (BTC) has turned negative for the first time since the February 3 crash, as reported by Coinglass. This measure compares BTC's price in dollars on Coinbase with its price in tether on Binance.
Key points:
- Traders on Coinbase are showing caution ahead of the U.S. CPI release.
- Price recovery occurred from lows near $94,900 to $96,000, driven by offshore traders.
- Historically, bull runs feature a premium on Coinbase, indicating strong U.S. investor activity.
- The premium reached two-month highs in early November during BTC's rise above $70,000.