Panic selling has ended, but a $82 billion liquidity decline threatens Bitcoin's recovery

Source: Yellow Original Title: End of panic sell-offs as $82 billion liquidity crunch threatens Bitcoin recovery, according to analyst

Original Link: https://yellow.com/es/news/fin-de-las-ventas-de-pánico-mientras-una-caída-de-liquidez-de-82000-millones-de-dólares-amenaza-la-recuperación-de-bitcoin-según-analista Traders’ realized losses on Bitcoin have fallen below a critical historical level, reaching -18%, after weeks of market capitulation. Falling below the -37% threshold has traditionally signaled a significant buying opportunity.

This shift occurs as stablecoin inflows to exchanges drop 50% (from $158 billion to approximately $76 billion), totaling a decrease of $82 billion since August.

What’s happening: On-chain loss metrics

Crypto analyst Ali Martinez reports that the realized price and profit/loss ratios of Bitcoin on-chain traders have fallen below the -37% threshold this week.

The indicator has now decreased to -18%, indicating that market participants have largely ceased selling tokens at steep discounts.

This change suggests that panic selling has eased. Based on historical patterns of the realized loss metric, market sentiment appears to be stabilizing, transitioning from capitulation to accumulation.

Why it matters: Liquidity shortage

The indicator dropping below -37% has historically preceded rebounds in investor confidence. Martinez notes that Bitcoin’s “buy the dip” opportunities often occur when this metric crosses that level.

However, crypto analyst Darkfost has identified a key obstacle to recovery. Stablecoin inflows — the primary source of new market liquidity — have sharply declined since August, with the 90-day moving average dropping from $130 billion to $118 billion.

A 50% decrease in inflow liquidity means Bitcoin faces weak demand and cannot absorb selling pressure.

According to Darkfost, current price stability is driven by a reduction in selling pressure rather than increased buying. To achieve genuine upward momentum, new stablecoin liquidity must enter the market.