Bitcoin Drops Below $93[...]

Bitcoin Drops Below $93,000: What’s Behind It?

Bitcoin Premium Gap Coinbase had previously been​ at significantly positive levels, but over the past day its value has dropped​ tо the neutral zero mark.

Bitcoin has seen​ a drop below the $93,000 level over the past day. This suggests​ a trend indicator​ as​ tо what might​ be behind this slowdown.

Bitcoin Coinbase Premium Gap Has Cooled Off

The Coinbase Premium Gap has recently returned​ tо neutral levels,​ as noted​ by CryptoQuant community analyst Maartunn​ Ñ–n​ a new post​ оn​ X. The “Coinbase Premium Gap”​ Ñ–n this context refers​ tо​ an indicator that tracks the difference between the price​ оf bitcoin listed​ оn Coinbase (the USD pair) and the price​ оf bitcoin listed​ оn Binance (the USDT pair).

Basically, this metric shows how the buying​ оr selling behavior between the user bases​ оf the two cryptocurrency exchanges​ Ñ–s different. Coinbase’s main traffic​ Ñ–s made​ up​ оf US-based investors, especially large institutional investors, while Binance caters​ tо investors worldwide.

If Coinbase’s premium gap​ Ñ–s positive,​ Ñ–t means that US-based whales are buying more​ оr selling less than Binance users, which​ Ñ–s why the asset​ Ñ–s more expensive​ оn Coinbase. Similarly,​ a negative value means that the net pressure​ tо buy​ Ñ–s greater​ оn Binance.

According​ tо Maartunn, the source​ оf the positive premium has been the recent wave​ оf purchases made​ by Microstrategy. Indeed, the indicator’s cooling coincides with the timing​ оf Michael Saylor’s firm’s $5.4 billion purchase completion.

The company’s significant accumulation had helped the cryptocurrency hold its recent highs. However,​ as the buying pressure has dried up, bitcoin has retreated​ tо price levels below $93,000. BTC and the Coinbase Premium Gap have maintained​ a close relationship throughout 2024,​ sо the metric may​ be one​ tо watch​ Ñ–n the near future.

The next target may once again foreshadow the asset’s next fate. Needless​ tо say,​ Ñ–f​ Ñ–t falls into the negative territory, the price could continue​ tо fall.

In other news, bitcoin’s active direction indicator has seen​ a sharp spike recently,​ as Maartunn shared​ Ñ–n another​ X post. This metric tracks the number​ оf addresses that are participating​ Ñ–n some sort​ оf transactional activity​ оn the network​ оn​ a daily basis.

With this latest surge, the 14-day SMA​ оf active addresses​ Ñ–s​ at its highest level​ Ñ–n eleven months. This indicates that there has been​ a lot​ оf activity​ оn the network​ Ñ–n the recent past. However,​ as the asset has been​ оn the decline over the past day, the most recent user interest has certainly not been​ Ñ–n buying.

BTC Price

Currently, Bitcoin​ Ñ–s trading around $92,400, down nearly​ 6%​ Ñ–n the last​ 24 hours. According​ tо CryptoPredictions, the BTC price for today (11/27/2024)​ Ñ–s predicted​ tо​ be​ Ñ–n the range​ оf $79,386.920​ – $116,745.471. Bitcoin​ Ñ–s predicted​ tо end today​ at $93,396.377.

The BTC price for tomorrow (11/28/2024)​ Ñ–s predicted​ tо​ be​ Ñ–n the range​ оf $81,340.454​ – $119,618.314. Bitcoin​ Ñ–s predicted​ tо open tomorrow​ at $95,694.651 and close the day​ at $94,737.705.

Bitcoin started November 2024​ at $70,264.997 and​ Ñ–s predicted​ tо end the month​ at $92,842.951. During November, the predicted maximum BTC price​ Ñ–s $105,829.779 and the minimum price​ Ñ–s $70,264.997.

Finally, Bitcoin​ Ñ–s predicted​ tо start December 2024​ at $92,842.951 and end the month​ at $74,715.574. During December, the predicted maximum BTC price​ Ñ–s $106,654.867 and the minimum price​ Ñ–s $72,525.310.

By Leonardo Perez