Trends in cryptocurrency distribution are being revealed as on-chain yield metrics come to the forefront of attention for their insights into market cycles and leverage behaviours. Analysts are trying to find out if the increase in DeFi yields indicates the distribution phase of risk assets, among which Bitcoin is the most important. On-chain yields are a reflection of the liquidity demand for borrowing in the protocols, and the changes in these rates can demonstrate when the speculative positioning is about to peak or when it is already easing. Yield behaviour is considered by the observers as Blockchain yield signals offering an insight that is over and above the traditional one based on price movements. This new perspective is gaining ground in the analysis of the Crypto market as the crypto markets get more institutional and data-driven. The largest DeFi lending marketplaces, which include the Aave protocol, offer stablecoin lending where the annual percentage yields (APY) are essentially controlled by the liquidity demand. When leverage cycles are at their height, yields can sometimes go above the long-term averages, which is a sign of increased speculative activity. In the past, such yield spikes have coincided not only with the corrections or distribution of major assets but also with the periods of long-term upward trends, thus making it quite a tricky situation.The question that analysts are asking is whether the yield spikes in USDT and USDC are very reliable signals of distribution in the underlying markets. At Aave, when utilisation increases and lenders raise their demands for APY, the situation usually arises where there is a lot of leverage being used. The spikes in stablecoin APY exceeding certain thresholds, especially above that 10% mark for USDT in previous cycles, have occurred during the times when later there was range-bound price action or even pullbacks in Bitcoin. The patterns of these yield spikes are pointing to distribution pressure preceding the larger market shifts. But still, not every yield surge indicates the same scenario. The markets may not have reached their peaks yet, and stress-driven liquidity shifts are one of the exceptional events that may push APY to extreme levels. During times of stablecoin depegging or liquidity crisis, yields may spike not because of the speculative leverage but rather as a symptom of the liquidity stress that is rampant around the whole system. High on-chain yields are a way of measuring the leverage that is being used in the Cryptocurrency distribution trend. The very high usage of the stablecoin lending markets means that the demand for borrowing is more than the supply, which is a good sign of a lot of traders being in the market. This can lead to the concentration of risk, which has been the case that the end of such periods is the time when the average market returns start to deteriorate, and risk assets are transferred from the strong hands to the weak ones. In these circumstances, analysts will regard sustained high yields as a warning signal, especially when the prices of the broader market have already reached their local peaks. Conversely, the moderate increase in yields during the long bull phase might just be a demand for liquidity and not an indication of the distribution. The data on yields, when combined with price and volatility metrics, can be a great help in the analysis of the crypto market and in distinguishing between the signals created by speculation and those caused by the anomalies of stress.