75% Institutional Share of Coinbase BTC Volume Hints Rally
Capriole Investments founder Charles Edwards reports that institutional funds made up 75% of Coinbase Bitcoin trading volume yesterday. Historical data shows that when institutional share on Coinbase exceeds 75%, BTC prices typically rise within a week. Meanwhile, U.S. inflation data met expectations, reinforcing the Federal Reserve’s intention to cut rates next month. Markets now price in up to three rate cuts this year, with a potential 50 basis point cut at a single meeting. The surge in institutional activity on Coinbase Bitcoin markets, combined with looming Fed rate cuts, suggests renewed buying pressure and sets the stage for a near-term Bitcoin rally.
Bullish
Institutional funds accounting for 75% of Coinbase Bitcoin volume has historically preceded a price rise within the following week. Coupled with strong inflation data and an anticipated series of Fed rate cuts, this convergence of high institutional participation and easing monetary policy creates a bullish environment for BTC. Similar patterns appeared in prior quarters when institutional inflows on major exchanges coincided with Fed rate cuts, leading to rapid short-term rallies. In the long term, sustained institutional demand and lower interest rates could underpin broader market confidence and drive further upside.