Bitcoin Hits $85K, but Coinbase Premium Index Remains in Negative Territory

The price of Bitcoin has surged to over $85,000 in recent days, marking a significant recovery from its previous dips. However, despite this upward trend, one key market indicator remains unchanged, the Coinbase Premium Index has turned negative again.

This index measures the gap between the price of Bitcoin on Coinbase and Binance, with Coinbase serving as a proxy for American institutional buyers. A negative reading suggests that US buyers are paying less than the rest of the world, which has been the case for most of 2026.

Cryptoquant's chart shows that the premium has only briefly turned positive since July, when it spent 50 consecutive days in negative territory. The current reading is -0.02, with Bitcoin trading near $81,500.

Analysts argue that the lack of a sustained return to a positive premium means that the current recovery may not be convincing. Fabius, a prominent trader, believes that the bounce is mostly driven by leverage and short squeezes, rather than clean spot demand.