Bitcoin Crash Dominated By US Selling, CryptoQuant Data Shows
Overview
Recent analysis from on-chain analytics firm CryptoQuant has highlighted significant selling activity from U.S. Bitcoin investors during the latest market downturn. This trend is underscored by the Coinbase Premium Gap, which indicates a preference for selling among American traders compared to their global counterparts.
Key Findings
Coinbase Premium Gap
CryptoQuant discussed the “Coinbase Premium Gap,” which measures the price difference between Bitcoin on Coinbase and Binance. The firm noted that the 30-hour moving average of this metric has recently dropped into negative territory. A negative Coinbase Premium Gap suggests that Bitcoin is trading at a lower price on Coinbase, which is primarily favored by American investors, particularly large institutional entities. This indicates heightened selling pressure from U.S.-based traders compared to global investors.
Selling Pressure Indicators
The analysis revealed that the Coinbase Premium Gap fell as low as -$90, signifying strong selling pressure from the U.S. market. Additionally, the cumulative returns across different trading sessions showed that while European and Asia-Pacific trading hours have maintained a neutral return in Bitcoin over the past month, the American trading session experienced a significant negative return.
ETF Outflows
Institutional investment in Bitcoin also appears to be declining, as evidenced by recent outflows from spot exchange-traded funds (ETFs). These investment vehicles, which hold Bitcoin on behalf of investors, have seen net outflows for three consecutive weeks. This marks a notable shift from the previous year’s trend, where substantial amounts of Bitcoin flowed into ETF wallets. In Q4 2025, there has been a net outflow of 8,000 BTC compared to the influx of 194,000 BTC observed in Q4 of the previous year.
Impact on the Crypto Market
- Increased selling pressure from U.S. Bitcoin investors could lead to further price declines.
- The negative Coinbase Premium Gap indicates a potential shift in market dynamics favoring international investors.
- Continued ETF outflows may negatively impact the overall demand for Bitcoin in the spot market.
- The performance of spot ETFs may be closely monitored, especially regarding their cost basis, which could influence market sentiment.
- The overall downturn in the American trading session contrasts with the relative stability seen in European and Asia-Pacific markets.
Updated: 11/21/2025, 6:36:05 AM
