diff --git a/impl/src/layer1/rx.c b/impl/src/layer1/rx.c
index 9118987..4415813 100644
--- a/impl/src/layer1/rx.c
+++ b/impl/src/layer1/rx.c
@@ -36,6 +36,8 @@
 #define AGC_BW_ACQUISITION 5e-2f
 #define AGC_BW_TRACKING    1e-4f
 
+#define SQUELCH_TIMEOUT_MS 2
+
 #define MAX_COARSE_FREQ_OFFSET 0.20f
 
 #define PLL_BW_HEADER 0.03f
@@ -216,15 +218,15 @@ static enum squelch_state_t update_and_check_squelch(layer1_rx_t *rx, unsigned i
 			break;
 
 		case LIQUID_AGC_SQUELCH_SIGNALHI:
+		case LIQUID_AGC_SQUELCH_FALL:
+		case LIQUID_AGC_SQUELCH_SIGNALLO:
 			result = SQUELCH_OPEN;
 			break;
 
-		case LIQUID_AGC_SQUELCH_FALL:
+		case LIQUID_AGC_SQUELCH_TIMEOUT:
 			LOG(LVL_DEBUG, "Squelch enabled at #%zu RSSI = %.3f dB [thr: %.3f dB]", rx->sample_index, level, agc_crcf_squelch_get_threshold(rx->agc));
 			// fall through
-		case LIQUID_AGC_SQUELCH_SIGNALLO:
 		case LIQUID_AGC_SQUELCH_ENABLED:
-		case LIQUID_AGC_SQUELCH_TIMEOUT:
 			result = SQUELCH_CLOSED;
 			break;
 	}
@@ -239,13 +241,13 @@ static bool is_squelch_open(const layer1_rx_t *rx)
 	switch(agc_crcf_squelch_get_status(rx->agc)) {
 		case LIQUID_AGC_SQUELCH_RISE:
 		case LIQUID_AGC_SQUELCH_SIGNALHI:
+		case LIQUID_AGC_SQUELCH_FALL:
+		case LIQUID_AGC_SQUELCH_SIGNALLO:
 			result = true;
 			break;
 
-		case LIQUID_AGC_SQUELCH_FALL:
-		case LIQUID_AGC_SQUELCH_SIGNALLO:
-		case LIQUID_AGC_SQUELCH_ENABLED:
 		case LIQUID_AGC_SQUELCH_TIMEOUT:
+		case LIQUID_AGC_SQUELCH_ENABLED:
 			result = false;
 			break;
 	}
@@ -560,6 +562,7 @@ result_t layer1_rx_init(layer1_rx_t *rx, rx_callback_t callback)
 	rx->noise_floor_level = 0.0f;
 	agc_crcf_squelch_set_threshold(rx->agc, rx->noise_floor_level + 3.0f); // in dB
 	agc_crcf_squelch_enable(rx->agc);
+	agc_crcf_squelch_set_timeout(rx->agc, SQUELCH_TIMEOUT_MS * SYMBOL_RATE * RRC_SPS / 1000);
 
 	// create NCOs for carrier frequency compensation
 	rx->carrier_coarse_nco = nco_crcf_create(LIQUID_NCO);