Bitcoin spot demand shows recovery, but U.S. buying remains unclear

Signs of recovering spot demand are emerging in Bitcoin on-chain data, according to CryptoQuant contributor MAC_D. Even so, more confirmation is needed before concluding the current uptrend is being supported by strong spot demand. As of Sept. 30, apparent demand growth improved to around negative 101,000 BTC on Oct. 1 from about negative 182,000 BTC on Sept. 24. The roughly 81,000 BTC improvement in a week still leaves the metric in negative territory, but suggests spot demand is recovering as the pace of contraction narrows quickly. By contrast, the Coinbase premium index remains negative, indicating spot buying pressure from U.S. investors has yet to show a clear recovery. The key issue in the current rally, MAC_D said, is the gap between Bitcoin's price and U.S. spot demand. The analysis suggests that even if Bitcoin extends gains and breaks above its previous high, the rally may prove less durable unless the Coinbase premium and on-chain spot demand improve together.