US Spot Demand Wanes as Bitcoin Coinbase Premium Flips Negative

Bitcoin (BTC) is experiencing a price correction driven by a sharp reduction in US spot market demand. The Coinbase Premium Index, a key gauge of US institutional and retail appetite, has dipped to -0.008, marking its first negative reading in three weeks and aligning with the asset's recent price decline. This shift in sentiment is mirrored by broader on-chain metrics. The net weekly average of realized losses for Bitcoin has climbed to $829 million, significantly outpacing the $566 million in realized profits. Currently, 64% of the supply is in profit, a level that analysts suggest may not be sufficient to sustain a long-term upward trajectory. Market participants are closely watching the $77,300 liquidity zone, which has recently been breached. Traders have identified the $74,500 to $75,500 range as a critical support area where demand exhaustion may either bottom out or lead to further declines. Activity on Binance further underscores the bearish momentum. The 24-hour cumulative net taker volume saw a drop of $828 million on April 27, while the taker buy/sell ratio fell to 0.89. This indicates that sell orders are currently dominating buy orders on the exchange. With the Federal Open Market Committee (FOMC) meeting window approaching, volatility is expected to remain high. While some analysts view this as a short-term capitulation rather than a structural trend reversal, the immediate outlook remains cautious as the market tests prior exhaustion zones.