Bitcoin has fallen for seven consecutive days, now showing a negative premium. Can buying the dip in Asia lead to a rebound?

[Coin World] Recently, the premium indicator of Bitcoin on a leading exchange has shown negative values for seven consecutive days, reflecting a decline in purchasing enthusiasm in the U.S. spot market. During the year-end period, institutional investors typically conduct quarterly rebalancing of their portfolios while also dealing with the selling pressure from tax-loss harvesting. This combination of factors has led to selling pressure in the Western market.

Interestingly, Asian traders are positioning themselves to buy Bitcoin on dips. This scenario has played out more than once in historical cycles—whenever the Western markets fall into a selling frenzy, the involvement of Eastern buyers often serves as a buffer for the market. Based on past empirical patterns, once the selling pressure from the U.S. subsides, prices usually experience a rebound. Therefore, the current negative premium may signal a buying opportunity.