Bitcoin (BTC) has retreated for three days in a row, falling below $66,000 during Wednesday’s trading session in New York. The decline came after failing to breach the $70,000 level as frail buying interest allowed sellers to maintain control.
Onchain data suggests that the decline is likely due to spot selling conducted on Binance, while the absence of Coinbase premiums during the US market session signals subdued participation from US investors.
Key takeaways:
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Coinbase premium index signals have muted US investor participation at current price levels.
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Cumulative volume delta (CVD) continues to trend down, reflecting continued net sales pressure.
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The data shows that the 30-day novel money flow turned negative at approximately -$2.8 billion.
Coinbase premium and futures data shows that bears remain dominant
The Coinbase Premium Index measures the difference between BTC prices on Coinbase and other exchanges such as Binance. The positive premium reflects mighty demand in the US spot market.
The index continued to show a negative premium this week, suggesting circumscribed involvement from US investors.
Meanwhile, the cumulative Bitcoin volume delta (CVD) on Binance increased to -$5.7 billion. A steady series of lower highs in CVD indicates continued selling pressure in the market rather than accumulation.
Given Binance’s dominant market volume, the negative delta suggests that cash-driven sell orders could lead to a decline.
The bid-to-ask ratio remained negative, showing that sales orders have consistently outperformed offers as the economy tries to recover. Although the indicator has turned slightly positive (around 0.14), this looks more like a short-term reaction than real support for spot buying.
Aggregate open interest also trended lower, falling to $17.6 billion from $20 billion on Monday. This suggests that leverage is gradually decreasing and long positions are closing rather than building novel exposure.
Related: Spot Bitcoin ETFs Add $167 Million, Nearly Wiping Out Last Week’s Outflows
CryptoQuant data further reinforces the lack of spot demand below $70,000. The cumulative 30-day novel money flow turned negative at almost -$2.8 billion, while the latest daily reading remains low at around -$239 million.
Unlike previous upward trends, in which price declines attracted immense capital inflows, the current price declines do not generate significant inflows.
The “young supply” (0-1 month) share, which tracks recently moved coins, also dropped to the lower end of its recent range near 13%, reflecting reduced speculative participation from investors.
Strong growth is usually accompanied by an increasing supply of teenage people, increasing capital inflows and an augment in the number of open offers, and currently none of these factors are present.
Related: Rare Bitcoin Signal Flashes: Will BTC Price Surge 220%?
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