This week, the crypto market has witnessed a remarkable positive shift, especially in the prices of major alternative cryptocurrencies XRP, DOGE and XLM.
Those tokens are again priced more or less the same on Nasdaq-listed Coinbase, considered a proxy for government demand, and offshore giant Binance, TradingView data show.
The rebound from the steep discounts on Coinbase observed in the second half of last month points to renewed participation by government investors in these markets.
The charts above show the so-called Coinbase premium indicator for XRP, XLM and DOGE. It measures the spread between the dollar-denominated prices on Coinbase versus the tether-denominated prices on Binance. Tether is the world’s largest stablecoin with a value that is 1:1 to the US dollar.
The Coinbase premium for the three tokens rose in early December as BTC’s move to lifetime highs above $108,000 spurred risk-taking. However, BTC’s uptrend ran dry in the second half of the month as hawkish Fed expectations gripped the market and dampened bullish expectations in the altcoin sector.
The prize then quickly became a discount.
