Yeliz Akmaca 
Bitcoin rebounded more than 15% after last week’s sharp pullback toward $60,000, climbing back just below $70,000. Despite the swift recovery, weekly losses still exceed 10%. The price has caught a breath — yes — but the market remains cautious.
Alongside this move, a notable rebound appeared in the Coinbase Bitcoin Premium Index, which tracks US-based demand. However, this shift points more to selective purchases near lows than to a broad increase in risk appetite.
What Does the Coinbase Premium Index Show?
The Coinbase Bitcoin Premium Index — tracking the difference between Coinbase prices and the global average — had dropped to roughly -0.22% at the peak of the sell-off. By Tuesday, it had recovered to around -0.05%.
The index is still in negative territory. But the reversal is significant.
This suggests that, as forced selling eased, US-based investors saw an opportunity to buy the dip. Coinbase is widely regarded as a proxy for institutional and dollar-denominated fund flows. Deep negative premiums usually indicate either aggressive selling by US investors or complete inactivity. A return toward neutral, particularly after one of Bitcoin’s fastest drops since the FTX collapse in 2022, shows some buyers found value at lower levels.
Yet, the critical threshold has not been breached.
The premium has not reached positive territory. Historically, this level aligns with sustainable accumulation among US funds and renewed risk appetite. The current pattern, however, signals selective buying rather than broad-based participation.
Where Will Bitcoin Bottom? Key Levels
Key Developments Behind Bitcoin’s Latest Rebound
-
Coinbase Premium Rebounds: The index rose from -0.22% to -0.05%, showing US investors shifted from selling pressure to buying.
-
Fear Index Turns From Lows: The Crypto Fear & Greed Index fell to 6 over the weekend, touching levels seen in the 2022 FTX crash. By late Monday, it rose to 14, but the market remains jittery.
-
Liquidity Remains Thin: Trading volumes are far below late-2025 peaks, meaning price moves can spike sharply but lack support.
Where Will Bitcoin Bottom? Levels Analysts Are Watching
Low Volumes, Weak Liquidity
Market structure data supports this cautious interpretation. According to Kaiko, total trading volumes on major exchanges remain far below late-2025 highs. Spot market activity indicates gradual slowdown rather than a surge in demand.
Thin liquidity can create sharp price spikes once selling pressure subsides. But if buyers fail to follow through, the market remains vulnerable to renewed downward moves.
Bitcoin has recovered over 15% from intraday lows and is now trading just below $70,000. Yet weekly losses remain in double digits.
Sentiment Remains Fragile
Investor psychology reflects a similar picture. The Crypto Fear & Greed Index fell to 6 over the weekend — near 2022 FTX crash lows — and rose to 14 by late Monday, still signaling excessive fear.
In short: the market has recovered slightly but not fully eased.
Overall, US-based buyers appear to have stepped in on the dip. The Coinbase Premium rebound confirms this. Yet, low volumes, thin liquidity, and a premium still in negative territory prevent us from calling it a broad-based demand wave.
You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.