On May 19, the Coinbase Premium Index fell to -0.087, its lowest level since March 31, indicating weaker demand from US buyers. Despite a significant profit-taking event where Bitcoin traders realized 14,600 BTC worth approximately $1.14 billion on May 4, the market shows signs of stabilization as Bitcoin regains its upper price range.
Although the daily premium has dipped, the 14-day simple moving average of the index remains above February lows, suggesting a potential recovery in buyer interest. Historical trends indicate that similar movements in the moving average could precede renewed demand, as witnessed in early 2025 before Bitcoin prices surged towards $110,000.
Furthermore, activity within the Coinbase network remains robust, with Base blockchain revenue hitting nearly $972,000 on May 19, surpassing figures from late March. This reflects ongoing participation in the Coinbase ecosystem, even as the premium gap indicates softer immediate demand.