BaroVirtual2023-07-24

The Coinbase Premium Gap signals the weak mood of US institutional investors

As you know, Coinbase Pro is famous for the abundance of institutional investors and wealthy US individuals who tend to accumulate Bitcoin. Generally, since 09 March 2023, American investors have shown sufficient interest in the accumulation of Bitcoin, but in the last 1.5-2 months, their interest has declined significantly. The current value of the Coinbase Gap Premium indicator is -2.14, which may indicate three (3) states of American investors: - they greatly reduce their activity in accumulation; - they sell their bags, but not so much; - they are generally not active in terms of transactions. I would venture to suggest that the above was caused by unjustified expectations regarding the price action of Bitcoin and regulatory changes in the US, which apparently upset the domestic players in the crypto field. Finally, what is happening now gives some room for maneuvering to institutional investors and wealthy individuals in Southeast Asia (mainly the Binance exchange).