Coinbase Premium Stays Negative for 40 Days as PCE Hits 4.1%

According to CryptoQuant analyst Darkfost, the Coinbase Premium Index has remained negative since May 15, indicating sustained selling pressure from institutional investors on Bitcoin. The index, which compares BTC prices on Binance versus Coinbase Advanced, reflects bearish sentiment among larger market participants.

The decline coincides with inflationary pressures: the headline PCE index came in at 4.1% (above the 4.0% forecast), while core PCE reached 3.4% versus an expected 3.3%, marking the highest readings since April 2023. GDP data came in stronger than expected at 2.1%, reducing the likelihood of near-term Federal Reserve rate cuts.