Analysts: USDT liquidity is showing a V-shaped recovery, providing structural support for Bitcoin's current price.

CoinFeed reported on April 30th that, according to CryptoQuant analyst EgyHash, USDT liquidity remains the primary engine for Bitcoin price discovery. 60-day USDT market capitalization data shows a sharp reversal in the market from the liquidity crunch of late 2025 to early 2026, exhibiting a V-shaped recovery, while Bitcoin consolidated in the $77,000 to $78,000 range. This historic shift from negative to positive liquidity is typically a leading indicator of increased volatility. Analysts believe the market has shifted from a period of capital withdrawal to one of aggressive replenishment, a shift that provides structural support for current prices, but medium-term success depends on whether newly added USDT can translate into sustained spot demand.