Americans are returning to Bitcoin in force this year, as indicated by the Coinbase Premium reaching its highest level since February.
This metric, showing the price gap between Coinbase’s BTC/USD and Binance’s BTC/USDT quotes, is a popular proxy for gauging U.S. retail buyer appetite.
On Friday, the Coinbase Premium touched $109.55—its largest spread since February 3.
Earlier this week, CryptoQuant contributor “Crypto Dan” in a Quicktake update described the pattern as characteristic of early-cycle recovery after correction, without signs of overheating.
This suggested continued bullish momentum into the second half of 2025.
Simultaneously, institutional interest appears to be rebounding. U.S. spot Bitcoin ETFs, especially BlackRock’s iShares Bitcoin Trust (IBIT), are drawing significant inflows and currently lead in assets under management.
CryptoQuant also highlighted a notable decline in on‑chain BTC reserves on exchanges. Since July 2024, over 500,000 coins have exited spot exchange holdings.
Baykuş, another CryptoQuant contributor, noted this trend is no accident.
“People aren’t selling—they’re holding. They’re not day trading, they’re holding for the long term.”
He framed this movement as a hidden foundation supporting the current rally toward $110,000.
Taken together, increasing retail premiums on Coinbase, strengthening institutional inflows into ETFs, and dwindling exchange supply paint a bullish outlook for Bitcoin’s price.
If these trends persist, analysts predict sustained momentum through mid‑2025 and possibly beyond.
