Reduction in U.S. Spot Discounts, Surge in Coinbase Prime Trading Volume

The spot prices in the U.S. are trading cheaper than overseas, and institutional trading has significantly increased. As of September 4, the Coinbase premium fell from -0.0236% on August 31 to -0.0521% on September 1, then recorded -0.0422% on September 2, -0.0079% on September 3, and -0.0068% on September 4. Although the discount has narrowed, it has recorded five consecutive days in the negative, indicating that the buying sentiment for U.S. spot is still not strong. The trading volume on Coinbase Prime on September 3 was 11,057.49 BTC, a 121.2% increase from the previous day's 4,999.16 BTC. This indicates that institutional trading is becoming more active. According to the CFTC, as of August 25, the long positions in CME Bitcoin futures were 3,181, while short positions were 11,270, meaning shorts are 3.5 times the longs. The VIX fell to 14.32 as of September 3, showing that there is not much anxiety in the stock market. The dollar index slightly rose to 99.02, and the yield on the U.S. 10-year Treasury bond is 4.79%. Currently, the U.S. market is in a situation where spot discounts and increased institutional trading are in conflict.

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