According to a recent on-chain analysis, Bitcoin (BTC) is showing signs of a potential short-term recovery, driven by rising demand in the United States. The increasing Coinbase premium plays a key role in this potential bitcoin price recovery
In an analysis posted on October 3 by CryptoQuant, a leading on-chain analytics platform, experts highlighted the growing possibility of a short-term Bitcoin price increase. Thanks to the support of US-based demand reflected in the Coinbase premium.
How Coinbase Premium and Golden Cross Indicate BTC Price Recovery
Bitcoin’s price has been fluctuating around the $60,000 support level this week. With market concerns heightened by geopolitical tensions in the Middle East. Despite this, the demand for Bitcoin in the US remains robust, as indicated by the Coinbase premium.
The Coinbase premium refers to the difference in Bitcoin prices between Coinbase (BTC/USD) and its corresponding pair on Binance (BTC/USDT). A higher Coinbase premium often signals stronger demand from US investors, and it can serve as a reliable indicator of Bitcoin’s price direction.
According to CryptoQuant contributor Yonsei_dent, short-term price trends can be better understood by analyzing the Coinbase Premium Index. By observing the 24-hour (daily) and 168-hour (weekly) moving averages, significant price movements often occur. When these averages form a golden cross—a pattern where the daily average crosses above the weekly average.
“The last golden cross pattern was observed in late September, coinciding with Bitcoin’s surge above $66,000,” Yonsei_dent explained. Although Bitcoin’s price briefly corrected to around $61,000 at the start of October, the strong demand from US investors, as reflected in the Coinbase premium, suggests a renewed push upward.
“This consistent demand could potentially drive Bitcoin’s price higher in the short term,” Yonsei_dent concluded.
US Bitcoin Demand Remains Strong, Supporting BTC Price Stability
The Coinbase premium has remained positive in recent weeks, signaling persistent demand from US investors. This is a crucial factor for Bitcoin’s potential price recovery.
As previously reported by analysts, a sustained positive Coinbase premium over Binance is often an indicator of bullish momentum for Bitcoin. Additionally, Bitcoin withdrawals from exchanges are hitting new highs. With more BTC being moved off exchanges into private wallets—a behavior typically associated with long-term holding and price appreciation.
Data from the Coinbase Flow Pulse tool, which tracks Bitcoin movement across different exchanges, supports this narrative. According to CryptoQuant analyst Axel Adler Jr., inflows to Coinbase remain in the green zone, indicating continued strong demand from the US market.
