- Coinbase Premium Gap surged, signaling rising U.S. demand for Bitcoin since April.
- Bitcoin price rose from $75K to $110K as U.S. investors paid higher exchange premiums.
- Analysts warn a narrowing premium could signal a market pullback near $100K support.
Bitcoin’s trading activity on U.S.-based exchange Coinbase has recorded a shift over the past three months, with the Coinbase Premium Gap climbing significantly. According to CryptoQuant data, the premium, defined as the price difference between Bitcoin on Coinbase and other global spot exchanges, was in negative territory throughout late March. On April 7, the gap hit a low of approximately $90, signaling increased selling pressure on Coinbase relative to peers and reflecting subdued demand from U.S. investors at that time.
However, the trend reversed in April. Beginning April 8, the premium turned positive, with green bars indicating buying strength on Coinbase. This positive spread has widened steadily through May and early June, regularly exceeding $25 and occasionally surging beyond $100. On some days, the gap crossed $150, highlighting strong onshore demand in the U.S. market.
Price Action Mirrors Premium Growth
The rise in the Coinbase Premium Gap has coincided with a large price increase in Bitcoin. Between early April and June 10, Bitcoin’s price rose from approximately $75,000 to $110,300. Visual overlays on CryptoQuant’s chart show the white Bitcoin price line trending upward in parallel with the green premium bars, emphasizing the correlation between the two metrics.
Analysts interpret the widening premium as an indication that U.S. investors are consistently purchasing Bitcoin at higher prices than their global counterparts. This onshore buying pressure suggests local demand has outpaced global supply during this timeframe. Historically, similar patterns in premium expansion have often aligned with bullish market phases, though this does not confirm future movements.
Implications for Market Stability
Despite strong interest from investors, market experts see no major signs of correction or overheating, so the current growth is considered part of a regular recovery. In addition, the increase in demand seems backed by the steady, mild activity of whales building their bitcoin holdings.
Analysts still recommend keeping a close eye on the premium, as things could change unexpectedly. A concise reduction in the difference could indicate a broader drop in the market. If the cost trend continues, $100,000 in technical support can act as a strong base for the price. As of now, the elevated Coinbase Premium continues to play a significant role in reflecting U.S. investors’ attitude and its influence on Bitcoin prices.
