BTC direction hinges on Coinbase Premium amid expected Fed tightening

An analysis from XWIN Research Japan suggests that the Federal Reserve under new Chairman Kevin Warsh is likely to prioritize monetary tightening, making metrics like the Coinbase Premium and exchange netflows key indicators for BTC's direction. In a contribution to CryptoQuant, the research firm noted that concerns over prolonged tightening could weaken BTC demand, lower the Coinbase Premium, and increase exchange inflows, creating downward pressure. However, the analysis also suggests that a recovery in spot Bitcoin ETF inflows could generate new capital flows, potentially offsetting these effects.