A notable divergence has formed between the Coinbase Premium Index and Bitcoin's price, despite the recent rise in the cryptocurrency.
Surging Bitcoin Price and Declining Coinbase Premium Index
Over the past two weeks, a significant divergence has been observed between the Coinbase Premium Index and the price of Bitcoin. Bitcoin's price rose from $94,000 to $108,000, while the premium index, which reflects the demand for Bitcoin in the United States based on activity on major cryptocurrency exchanges Coinbase and Binance, continues to decline. This decline raises concerns, especially with increased investor demand from North America.
Bitcoin Price Could Surge or Drop
Just a week ago, the situation was different: when the price of Bitcoin fell, the Coinbase Premium Index surged. In the near future, the market anticipates a significant rebound. Mid-term prospects depend on the weekly candle's closure at $105,149. Without substantial support, Bitcoin's price may fall again to $100,000.
Conclusion and Situation Analysis
The decline in the Coinbase Premium Index amid a rise in Bitcoin's price raises concerns about the possible weakening of demand for cryptocurrency in the U.S. Analysts advise investors to be cautious and closely monitor the developments.
The divergence between the Coinbase Premium Index and Bitcoin's price underscores the need to be aware of market trends and potential external factors affecting cryptocurrencies.
