We have the squad to cope without Cancelo and win something big (or even the treble :)). We have incredible forwards and midfielders, and we have excellent CBs plus Walker.
The question is whether the defenders will stay fit.
Walker and Stones (who plays at RB at times) have missed 50% (!) of our PL games since the start of 20/21, and Ake has had injuries too, including this season. One thing that even the most biased fans against Cancelo can't deny is that he is fit as fuck and always available. If both Walker and Ake are unavailable for some (big) games, we'll struggle.
I've defended Pep a lot on here: when we were in midtable in 20/21 (I even predicted back then that we were going to win the title) and after the CL final where his starting XI and subs were suspect. But I think Pep has made a mistake. The mistake wasn't to loan Cancelo (given his recent behaviour), but to allow the situation to escalate like this over the last weeks with no time to react. There's no denying we were caught up by surprise.
Ultimately, the important thing is how the players react. If we go to Spurs and Arsenal and win 4-6 pts, we'll be fine and ready for the run in.