GlossaryCoinbase Premium Indicator
Coinbase Premium Indicator
The Coinbase Premium shows how much more or less Bitcoin costs on Coinbase than the global average, in percent. Coinbase is the most important venue for buyers from the USA, so a premium is seen as a sign of US demand and a discount as selling pressure from the US market.
How to read it
- Phases, not single days: The premium usually moves within a few tenths of a percent around zero. It becomes meaningful when it stays on one side for weeks.
- Sustained premium: More is being bought on Coinbase than the rest of the market follows. A rising price with a positive premium is seen as carried by US demand.
- Divergence: If the price rises while the premium turns negative, the buying pressure is coming from elsewhere, and US investors are selling into the move. Many read this as a warning sign for the rally.
- Discount in a sell-off: A deep, sustained discount in falling markets shows that the selling pressure is coming from the USA.
Good to know
- Bitcoin only. On other symbols, the study is not available in the menu.
- The premium is calculated from daily values. You will not see swings within a day, such as at the open of the US exchanges.
- The Coinbase side is an approximation on a daily basis. Individual days with unusually large swings are more likely measurement noise than a market signal. Read them in context with the days before and after.
- No settings apart from the style.