Institutional selling intensifies, Coinbase premium drops to monthly low

According to CryptoQuant analyst Darkfost, due to the recent intensification of institutional selling pressure, the Coinbase premium has fallen into negative territory, recording its lowest level this month at -0.0983% on May 21. This indicates that institutional and professional investors trading on Coinbase Advanced are selling more aggressively than retail investors on Binance.

Analyst Axel Adler noted that this reflects zero confirmation of spot demand in the US. Nick Ruck, Head of Research at LVRG, stated that the decline in the premium reflects the emergence of net selling pressure from large holders, with institutions taking profits or rebalancing their positions. Additionally, CoinGlass data shows that since May 14, US spot Bitcoin exchange-traded funds have seen net outflows on four trading days, totaling $1.3 billion. Bitfinex stated that open interest in Bitcoin futures or perpetual contracts has decreased by approximately $1.5 billion this week, clearing most of the leverage. (cointelegraph)