Crypto market liquidity is showing signs of exhaustion.

$USDT

Recent data for January 2026 reveals a sharp decline in USDT market cap growth, dropping from $15 billion to just $3.3 billion since late November.

Key red flags to watch:

Capital Outflow: USDT (ERC-20) has been trading slightly below $1, suggesting investors are cashing out rather than hunting for new entries.

Massive Burn: Tether Treasury recently burned 3 billion USDT—the largest burn recorded in the last 3 years.

BTC Correlation: Historically, stagnation in USDT liquidity often leads to price corrections for Bitcoin and Altcoins.$BTC

BTC
BTCUSDT
78,739.9
-6.46%

$ETH

ETH
ETHUSDT
2,442
-9.61%

Is this the beginning of a bearish phase or just a liquidity retest? Stay sharp and keep your stop losses tight! 📉

#USDT #Bitcoin #Write2Earn! #MarketUpdate #CryptoNews #Stablecoin #TradingSignal