U.S. institutional giants return! Bitcoin surges past $93,000, and these 3 indicators flash "bullish signals"

As 2026 officially kicks off, Bitcoin bulls finally see a long-awaited dawn. Multiple on-chain indicators are simultaneously signaling a bullish reversal, including Coinbase premium rebounding from its lows, the Fear & Greed Index bouncing back, and the Long/Short Ratio remaining above 1.0 after deleveraging, indicating that market structure is gradually recovering. As of 10:00 a.m. today (5), Bitcoin has risen back to $93,000, erasing the shadow of dropping below $87,000 in late December. However, despite the improving market conditions, sentiment remains fragile. Analysts warn that until overall economic variables are fully resolved, investors should remain cautious and avoid overreacting in the short term. Institutional Capital Reflows: Coinbase Premium Index Rebounds The first bullish signal comes from the flow of funds from U.S. investors, especially institutions. The Coinbase Premium Index, which measures the buying strength of U.S. and global markets, is performing a V-shaped reversal. After plummeting to -150 at the end of December, it has now significantly rebounded, approaching the zero line. In other words, after the year-end selling pressure subsided, U.S. institutional investors have returned to the buying side. If the Coinbase Premium Index further turns positive and stabilizes, it confirms that dollar buying has officially resumed. This is often a leading indicator for Bitcoin’s upward momentum. Farewell to “Extreme Fear”: Market Sentiment Warms Up Market sentiment is also improving in tandem. The Crypto Fear & Greed Index, which combines volatility, trading volume, social sentiment, and market momentum, has risen from 29 last week to 40. This indicates that the market has officially moved out of the “extreme fear” zone. Although the values across different platforms still vary (CoinGlass shows 26, Binance shows 40), the trend of “fear receding and confidence returning” is quite clear. Healthy Positioning: Bulls Still in the Lead Derivatives market data also supports the bullish outlook. The Bitcoin Long/Short Ratio, although recently declining due to deleveraging, remains above the critical 1.0 threshold. When the ratio exceeds 1.0, it indicates that more funds are betting on price increases (longs) than on declines (shorts) in the futures market. Current data suggest that the market structure is experiencing a healthy cooling rather than a panic crash, reducing the risk of large-scale liquidations in the future. Reasons to “Remain Cautious” Despite multiple indicators turning positive, risks remain that cannot be ignored. First, although the Fear & Greed Index has rebounded, it still remains in the “fear” zone, reflecting lingering doubts among investors about the Federal Reserve’s policy direction. Especially after the hawkish signals from the December FOMC minutes, market expectations for rate cuts have been readjusted. Additionally, the recent rebound may partly be due to the end of year-end “tax-loss selling” (selling assets at a loss to offset taxes), which is a technical rebound rather than a sign of full confidence. Analysts emphasize that to confirm a complete trend reversal, the Coinbase Premium Index must decisively turn positive and stabilize, indicating that institutional funds have fully entered the market. Market Outlook Overall, the return of institutional buying, improved sentiment, and stable bullish positions create an optimistic protective barrier for Bitcoin’s price action in early 2026.