Bitcoin fell below $63,000 on Monday, as US-based traders on Coinbase continued to pay less for the cryptocurrency compared to international buyers. The persistent discount, reflected in the Coinbase Premium Index, has now lasted 77 days, marking the longest negative streak recorded for this metric.
Record-breaking discount on Coinbase
A negative Coinbase Premium Index indicates that Bitcoin’s price is lower on Coinbase, the largest US crypto exchange, than on other major international trading platforms. This pattern suggests reduced demand or less buying pressure from US market participants compared to their global counterparts.
Since May 19, the index has consistently remained in negative territory, according to data from Coinglass. As of Monday, the premium rate stood at -0.1369%, continuing a downturn that began more than two months earlier. The sustained negative value marks the first time the discount has lasted for such an extended period.
Coinglass, a cryptocurrency analytics provider, tracks this index to offer insight into regional price differences and institutional investor activity. The prolonged negative premium points to ongoing hesitation among US investors or the presence of stronger international demand.
Mini dictionary: Coinbase Premium Index, a metric comparing the price of Bitcoin on Coinbase with its average price across major global exchanges. Positive values signal greater demand in the US, while negative values suggest stronger buying elsewhere.
Bitcoin has traded at a persistent discount on Coinbase relative to international exchanges since May 19, with the latest premium rate at -0.1369%, according to Coinglass. As of Monday, the premium has continued its longest negative streak in history.
US Bitcoin ETF inflows rebound
Despite the ongoing discount on Coinbase, US Bitcoin exchange-traded funds (ETFs) have seen renewed interest. In July, these funds attracted $172.43 million in net inflows, data from Sosovalue shows. This shift marks a reversal from June, when ETFs experienced significant net outflows.
The return of inflows to US Bitcoin ETFs comes as overall investor sentiment remains cautious amid price volatility in the cryptocurrency market. While ETF demand has revived, it has yet to translate into higher spot market buying on major platforms like Coinbase.
| Month | US Bitcoin ETF Net Flow |
|---|---|
| June | Outflow |
| July | $172.43 million inflow |
The prolonged discount has continued despite US Bitcoin ETF net inflows returning to monthly net inflows in July. The funds attracted $172.43 million during the month, according to Sosovalue, reversing June’s heavy outflows.
Historical streak surpasses previous lows
The previous longest negative streak for the Coinbase Premium Index took place earlier this year. From January 16 to February 24, the index remained negative for 40 consecutive days. During that period, Bitcoin’s price declined from $65,000 to under $65,000, compounding US traders’ reluctance to pay a premium compared to global peers.
The current 77-day streak more than doubles this earlier record, highlighting an exceptional period of downward US-based pressure relative to international investors. This ongoing divergence underscores shifting market dynamics as global economic conditions evolve and regulatory landscapes differ between regions.
