Coinbase Premium Index Hits Monthly Low Amid CLARITY Act Failure

The failure of the CLARITY Act in the U.S. Senate has led to a significant drop in demand for Bitcoin on Coinbase, according to recent data from CryptoQuant.

The Coinbase Premium Index fell to -0.079 on Tuesday, its lowest level since August 16, indicating that traders on Coinbase are showing less willingness to pay compared to those on Binance.

Onchain analyst Willy Woo pointed out the divergence in net order-flow dynamics between Coinbase and non-U.S. exchanges around the time of the CLARITY Act vote, describing it as a 'bullish' setup.

CryptoQuant's data also shows that short-term holders have been sending large volumes of BTC to exchanges, potentially to sell at prices below their last onchain move, with up to 34,000 BTC moved in the past 24 hours.