Ethereum Loses Bullish Strength as Coinbase Premium Gap Falls to A 10-Month Low Amid American Investors’ Selling Pressure

Ethereum (ETH) is facing a looming bearish momentum as identified by the latest metrics reported today by market analyst CryptoQuant. The new data indicates that the Coinbase Premium Gap has fallen to a 10-month low, showing strong ETH selling pressure from U.S crypto traders. And therefore, high chances of Ether to witness a price fall or consolidation soon.

The Coinbase Premium Gap measures the price difference between ETH on Coinbase (typically indicating Western demand) and Binance (reflecting global demand and majorly influenced by Asia). According to the analyst’s data findings, the ETH Coinbase Premium Gap has turned negative just after the bullish first week of the new year.

Crypto assets, including BTC, ETH, and several others, rose their prices around the new year and remained stable throughout the first week. Ethereum price surged from a low of $2,900 to around $3,100 currently, a reflection of the wider crypto market’s strong gains amid the ushering in of 2026, fueled by new year allocations and increased safe-haven demand triggered by geopolitical instability.

Ethereum’s $3,000 Rally Loses Grip as US Selling Piles

However, after the first week of robust crypto momentum, Ether appears to be experiencing renewed difficulties, as reported in the fresh data from the analyst. As per the data, the current value of the Coinbase Premium Gap has dropped to the lowest level last seen 10 months ago, indicating that Ethereum is currently being heavily sold on Coinbase compared to other crypto exchanges, a move that signifies a potential market dynamic shift towards bearishness.

The premium gap remained positive during the first week of this month, as ETH rose from $2,908 on December 29 to $3,295, as noted yesterday, January 7. However, from today, as flagged by the data, the index has drastically fallen into negative territory – an indicator that purchasing frenzy from American investors has decreased. As pointed out by the analyst, unless the price gap of the Coinbase Premium Index returns to the positive territory, supported by real buying events in the US spot market, chances of ETH breaking above the $3,300 resistance level remain low.

ETH Price Outlook

ETH, which currently trades at $3,104, experienced a 3.7% decrease in the past 24 hours. The asset witnessed significant corrections in later part of last month when it consolidated around $2,800-$2,900 levels since Dec.16 but eventually broke above the $3,000 mark on Dec.29. Since its breakout, ETH has been trading above the crucial $3k psychological level, indicated by a 4.4% upturn registered over the past week driven by increased ETH demand from buyers.

However, the asset’s likelihood of climbing above the 3,300-resistance level appears limited, hampered by heavy selling and profit-taking by American investors, as highlighted by the latest Coinbase Premium Index.