Logging out from iCloud deleted all my local files

I've just bought the 50Gb-plan of iCloud for my Mac. However, it was still showing that it was full when I was navigating Finder, even after a restart. Trying to fix this, I decided to log out and log in again to see if that would solve the problem... Well it did, but now all my local files are gone.

I had reached the limit of free plan (5Gb) a very long time ago so I had a few files saved on iCloud and 90% of them stored locally with the "Saturated" mention underneath almost every folder. Everything was in '~/Documents' and '~/Desktop'. I logged out and logged back in with my computer and saw that everything is gone. Both previously mentioned folders are empty.

Now, it keeps telling me that iCloud is downloading stuff, but what exactly? Does it download what it had saved in the 5Gb?

Obviously the most important question is : where are my files???