New data from Daan Crypto Trades reveals a potential shift in Bitcoin’s relationship with global liquidity trends. The chart, comparing Bitcoin’s price to the Global Liquidity Index, shows near-perfect correlation between the two indicators, suggesting a possible recovery phase. Notably, Bitcoin reached its peak around the time global liquidity peaked earlier this year. The recent rise in global liquidity has started to impact Bitcoin, potentially signaling a favorable environment for risk assets like Bitcoin in the coming weeks. However, short-term holders are facing historic losses. Bitcoinsensus reveals over $900 million in daily realized losses from short-term holders, surpassing even previous market crashes such as the China mining ban and FTX collapse. This massive spike in realized loss aligns with past downturns, suggesting a potential exhaustion of panic sellers. Though Bitcoin’s price remains above prior cycle lows despite this decline, the mismatch highlights how recent market participants have been heavily leveraged and reactive. This unique mix suggests that Bitcoin may be navigating towards a turning point as global liquidity continues to rise. If this trend holds, Bitcoin could gain support more easily in the coming weeks. However, until selling pressure diminishes and volatility stabilizes, traders should anticipate elevated uncertainty around key price levels.