TechFlow news, January 2 — CryptoQuant analyst Burakkesmeci stated that the Coinbase Premium Index has continued to decline, dropping to -0.237, the lowest level in nearly 12 months. The index previously fell to -0.200 on October 25, 2024, ahead of the U.S. presidential election.
The analysis notes that amid year-end low liquidity conditions, falling Bitcoin prices combined with increasing selling pressure in the U.S. market have further weighed on the Coinbase Premium Index.
The declining indicator reflects insufficient institutional demand and highlights cautious sentiment among U.S. investors. If macroeconomic conditions do not improve or buying interest from institutional and retail investors fails to recover, Bitcoin may face downward pressure in the short term.
