Bitcoin has recently experienced a notable downturn, with its premium on Coinbase sliding into negative territory at -0.20, marking the lowest point since January 2025. This decline occurred as the cryptocurrency”s value fell to the $63,000 range, reflecting a significant shift in trading dynamics, particularly in the U.S. market.
Market pressure has intensified due to increased selling by institutional investors utilizing Coinbase Prime Custody. The negative premium indicates a growing disconnect between Bitcoin”s price on Coinbase and other platforms, reaching price discrepancies of up to $150 during this correction. This situation has highlighted a concerning trend for U.S. traders, who appear to be pulling back from the market.
During this period of volatility, trading activity has predominantly shifted to the Asian session, where stronger market engagement has been observed. In contrast, both U.S. and European markets have shown weak traction, evidenced by a relative strength index (RSI) dropping to 21.70 points and the Fear & Greed Index plummeting to five points, nearing historical lows.
The recent price drop from the $90,000 area to approximately $60,000 has coincided with a substantial liquidation of long positions, which had been built on expectations of a market recovery. Current liquidity data indicates that many open long positions remain concentrated around the $60,000 mark, maintaining a consistent pressure on the market.
Technical indicators are revealing extreme market conditions, with forced selling impacting both retail and large holders alike. The divergence in trading behavior between regions is stark; while the Asian market has displayed resilience with a positive premium on platforms like Binance, the U.S. market continues to struggle.
Bitcoin”s recent performance underscores a significant shift in market sentiment and trading patterns, as traders navigate an increasingly challenging environment. The lack of follow-through in price movements during Western trading hours has further compounded the challenges faced by U.S. investors, who are now relying on a limited daily liquidity window to sustain any potential gains.
