What the “SSR” measures

An on-chain indicator called the Bitcoin Stablecoin Supply Ratio (SSR) compares the market cap of BTC to the combined valuation of all stablecoins. In other words, it frames how much stablecoin value sits relative to Bitcoin’s size.

CryptoQuant analyst Maartunn highlighted the latest move in the SSR’s Relative Strength Index (RSI) on X. The RSI is a momentum oscillator. Here, it tracks the magnitude and speed of recent changes in the SSR, not the SSR itself.

The signal Maartunn is pointing at

According to the NewsBTC report, the SSR RSI has dropped to a low of 13. NewsBTC describes this as entering the “undervalued” zone.

In that framing, the interpretation is mechanical. An SSR RSI drawdown means the SSR has declined far enough that the ratio looks stretched to the downside. NewsBTC links that to a simple balance-sheet mismatch.

“There’s a lot of stablecoin liquidity sitting on the sidelines relative to Bitcoin’s market cap,” Maartunn said, as quoted in the report.

So the desk reading is this. When SSR RSI runs that low while BTC falls, stablecoins represent a larger pool of capital waiting to rotate into risk assets like BTC.

Why a low SSR RSI does not guarantee a bounce

NewsBTC stresses that this setup does not automatically trigger buying. The report says the key question is whether investors will deploy that excess stablecoin liquidity into the market at lower BTC prices.

That matters because “dry powder” can sit still. In stress, stablecoins are often used as parking space, not as a timed buy order. Even if the RSI sits in an “undervalued” zone, flows still depend on risk appetite, execution, and how quickly holders decide to rotate back.

Think of it like inventory that exists in a warehouse. It helps determine what capacity a market can tap. It does not tell you when the warehouse will ship.

The second datapoint: more BTC is underwater

The same Maartunn thread also points to another on-chain condition. NewsBTC says 52% of Bitcoin’s circulating supply is now underwater, citing Maartunn’s other X post.

That’s not directly the SSR RSI. But it pressures the same behavioral channel. When more holders are trapped at losses, any rally faces supply that may want to exit or at least reduce exposure. That can slow or complicate rebounds, even if stablecoins are plentiful.

Where BTC sits during the signal

At the time of writing, NewsBTC reports BTC is trading around $62,700, down nearly 10% over the past seven days.

If you put the pieces together, the picture is coherent but conditional.

  • SSR RSI at 13 implies stablecoin value is high relative to BTC market cap.
  • Underwater share at 52% hints that patience is not the default stance for many holders.
  • BTC’s recent drawdown sets the environment where stablecoin liquidity is likely accumulating rather than redeploying.

Key facts (from the report)

MetricValueWhat it signals in this story
SSR RSI13 (low)SSR looks “undervalued” per NewsBTC and Maartunn’s framing
SSR definitionBTC market cap vs all stablecoins combined valueRatio tracks BTC size against stablecoin “dry powder”
Underwater BTC supply52%More BTC is held at losses, per Maartunn’s X post
BTC price (time of writing)~$62,700Down nearly 10% in 7 days, per NewsBTC

So what changes if stablecoins do get deployed

If the report’s implied mechanism plays out, stablecoin liquidity could flow into BTC markets. That would be the market consequence the desk cares about.

But the report keeps the ball in investors’ court. The low SSR RSI describes conditions where a rebound becomes plausible. It does not prove one will arrive, or how strong it might be.

In DeFi-adjacent markets, that distinction matters. Liquidity can be waiting. Decisions still have to happen.