The Coinbase Premium Gap, which tracks the price difference between Bitcoin on Coinbase and Binance, has fallen to its lowest level in over a year.
An analyst said the move may point to weaker relative demand on Coinbase-linked venues, which are commonly associated with institutional trading.
The Coinbase Premium is the price difference between Coinbase’s BTC/USD pair and Binance’s BTC/USDT pair.
When it turns negative to this extent, it means that the price of Bitcoin (BTC) on Coinbase Advanced Trade (formerly known as Coinbase Pro) — a platform mainly used by professionals, institutions and high-net-worth individual accounts — is lower than on Binance, a platform accessible to everyone and widely used by retail investors, CryptoQuant analyst Darkfost said on Thursday.
“The selling pressure is intensifying on the institutional side,” added Darkfost.
Volume-weighted hourly Coinbase Premium falls to yearly lows. Source: CryptoQuantCoinbase premium downtrending since October
The Coinbase Premium Gap is currently -167.8, its lowest level since December 2024, according to CryptoQuant.
A decreasing trend indicates that “whales are continuously selling at a lower premium. In addition, it shows decreasing interest and activeness of investors in Coinbase,” it explained.
The Coinbase Premium Gap has been decreasing since the mid-October market downturn, and the decline has accelerated over the past week.
Related: Spot crypto volumes plunge to 2024 lows amid investor demand weakening
“The current period is extremely challenging and highly uncertain, a climate that is not conducive to risk-taking and therefore to significant investments in BTC, which remains a volatile and risky asset,” said the analyst.
Coinbase Premium Gap is at its lowest level since 2024. Source: CryptoQuantSpot ETFs offloading billions in BTC
CryptoQuant stated that “institutional demand has reversed materially” in a market update on Wednesday.
The onchain analytics platform added that US spot exchange-traded funds, which had purchased more than 46,000 BTC this time last year, are net sellers in 2026, offloading 10,600 BTC.
This creates a “56,000 BTC demand gap versus 2025 and contributes to persistent selling pressure,” it added.
Over the past week, spot Bitcoin ETFs have seen $1.2 billion in outflows, while Bitcoin fell to a 15-month low below $71,000 on Thursday.
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Source: https://cointelegraph.com/news/coinbase-premium-gap-falls-to-yearly-low-signalling-institutional-selling-cryptoquant?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
