Bitcoin Stablecoin Demand Signal Weakens as BTC Holds Near $77,000

What to Know

• Bitcoin trades near $77,000 as the 90-day stablecoin oscillator retreats from its elevated August peak of 3.74, weakening liquidity momentum.
• Persistent readings inside the high-demand zone would support Bitcoin’s recovery, while movement toward zero would weaken bullish confirmation.
• Historical patterns show liquidity spikes can accompany major Bitcoin gains, although lasting rallies require sustained purchasing power and stronger demand.

CryptoQuant analyst Zizcrypto has identified weakening stablecoin purchasing demand as Bitcoin trades near $77,000. According to Zizcrypto, the 90-day Stablecoin Supply Ratio Oscillator peaked at 3.74 on August 21, approaching November 2024’s 4.00 peak and entering the strong stablecoin purchasing-demand zone.

However, the oscillator has started declining from that elevated level, raising uncertainty about the strength of Bitcoin’s supporting liquidity. Its retreat also coincides with Bitcoin slipping from approximately $80,000 toward the upper $77,000 region.

The Stablecoin Supply Ratio measures Bitcoin’s market value against the stablecoin supply available within the cryptocurrency market. Meanwhile, the oscillator tracks changes in that relationship across a selected period, including the latest 90-day window.

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CryptoQuant’s chart covers USDT, USDC, BUSD, TUSD, USDP, GUSD, DAI, and SAI within its stablecoin calculations. These assets often represent capital that investors can deploy into Bitcoin when market confidence and buying interest improve.

Significantly, the oscillator accelerated from near zero while Bitcoin recovered from approximately $63,000 during the recent market rebound. Bitcoin subsequently climbed toward $80,000, indicating that stronger stablecoin purchasing capacity accompanied the broader recovery.

Still, the indicator represents potential demand rather than confirmed Bitcoin purchases because investors may retain their stablecoins without entering the market. Therefore, sustained strength matters more than a temporary increase when assessing whether liquidity can support a lasting price expansion.

Zizcrypto emphasized that the market must now determine whether the elevated oscillator reading can remain inside the high-demand zone. Holding that region would indicate that stablecoin liquidity remains supportive despite the indicator cooling from its August peak.

Moreover, persistent purchasing power could provide Bitcoin with additional support if stablecoin holders begin allocating more capital into the asset. Such a development would strengthen the connection between available liquidity and actual demand across spot cryptocurrency markets.

Conversely, a fall beneath the high purchasing-demand boundary would weaken confirmation from the oscillator and reduce its bullish significance. Further movement toward zero would suggest that the August surge represented a temporary liquidity impulse rather than lasting demand.

Historical readings show that strong oscillator increases have accompanied several important Bitcoin advances, although their outcomes have varied considerably. In November 2024, the indicator approached 4.00 before Bitcoin advanced into the higher price region displayed on the chart.

Positive readings also appeared throughout parts of 2025 as Bitcoin traded above $100,000 and established several major market peaks. However, weaker readings later developed alongside declining purchasing conditions and Bitcoin’s broader correction during early 2026.

Source: CryptoQuant

Another positive expansion emerged around April 2026 as Bitcoin recovered toward $80,000, but the oscillator eventually dropped below zero. Consequently, that episode demonstrates why traders require sustained readings before treating a liquidity increase as a durable market regime.

Bitcoin’s present setup remains supported by elevated stablecoin purchasing capacity, although the strongest portion of that impulse may have passed. Maintaining the high-demand zone would strengthen the recovery, while further cooling could leave Bitcoin exposed to weaker liquidity support.

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