The current market environment for Bitcoin remains mostly bearish after recording a net 2.41% decline over the past week. Bitcoin is currently stable around $68,000, but the digital asset remains about 46% off its all-time high of $126,100, set in late 2025.
Bull or bear? Decoding Bitcoin SSR liquidity signals
In a QuickTake post on the CryptoQuant platform, pseudonymous analyst MorenoDV explained how the stablecoin supply ratio (SSR) acts as a liquidity signal for Bitcoin and why the current levels around 9.5-9.6 are important.
SSR measures the market capitalization of Bitcoin relative to the supply of stablecoins. In other words, it reflects how much “dry powder” (purchasing power) is present in the market. A high SSR indicates that Bitcoin's market capitalization is larger compared to stablecoins, meaning less sideline purchasing power, while a lower SSR indicates that stablecoin supply is relatively stronger compared to Bitcoin, meaning more potential purchasing power is available.
According to analyst MorenoDV, SSR is not simply a bullish or bearish indicator. Its significance depends on the direction in which the market approaches the 9.5 level. When the SSR declines towards 9.5 from higher levels, it typically indicates that stablecoin liquidity is consolidating, and past cycles have often seen Bitcoin finding support or reversing to the upside.
Conversely, if the SSR rises towards 9.5 from a low level, it is historically preceded by local tops and short-term corrections, suggesting that liquidity is fading.
Analyst MorenoDV explains that the 9.5 level is a liquidity equilibrium zone as it has the ability to act as support or resistance based on the market approach. As SSR passes through this critical zone, market traders will be watching closely to see if stablecoin inflows are maintained at a constant level or if there is an impending liquidity depletion indicated by a rejection at this equilibrium zone.
Bitcoin price overview
At the time of writing, Bitcoin price is around $68,840, reflecting a 3.97% increase over the past 24 hours. Meanwhile, daily trading volume decreased by 15.3% to $37.33 billion. According to Coincodex data, the Fear and Greed index is 9, indicating extreme caution among investors.
However, Coincodex analysts and investors will gradually take a more bullish stance as their forecasts suggest a 5-day target of $73,769 and a 1-month target of $77,687. On the other hand, the three-month target of $72,480 suggests some levels will retrace after the initial surge, in line with the typical uptrend pattern.
Featured images from XVerse, charts from Tradingview.com
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