US Bitcoin Demand Signal Hits Record Low

The Bitcoin Premium Index has been in a slump for 40 days, with its reading at -0.0467% as of now. This marks the longest period since 2023 where U.S. investors have consistently paid less than the global market average for bitcoin.

The index measures the price gap between bitcoin on Coinbase and the global market average. A negative reading suggests that American investors are either selling more aggressively or not participating in the market, as opposed to buying.

Despite a brief recovery in price, which saw bitcoin rise by up to 15% from its February 5 intraday low, the premium index failed to follow suit. This divergence indicates that while the price recovered, the composition of demand did not.