Phi Deltalytics
Bitcoin: Declining Professional Trader Bullish Sentiment
The Coinbase Premium Index represents the percentage difference between Coinbase Pro's USD pair price and Binance's USDT pair price. A decreasing trend in the index typically suggests that professional traders are exhibiting less bullish sentiment compared to retail traders, given that a significant portion of Coinbase's trading volume comes from professional traders. Consequently, when Bitcoin's price is on the rise amid high open interest and a declining Coinbase Premium Index, it frequently signals an overheated market.