Crypto News- Bitcoin Poised for Explosive Rally After Miners’ Capitulation Period Ends

Crypto News- Bitcoin Hits Long-Term Buy Zone

Crypto News– Recent data from the hash ribbons indicator suggests that Bitcoin (BTC) is entering a significant buy zone for the first time since mid-May. This development could signal the beginning of a major price rally.

Miners’ Capitulation Comes to an End

The hash ribbons indicator, which tracks two moving averages of Bitcoin’s hashrate, has exited its capitulation phase. This indicator measures the combined processing power miners contribute to the network. A drop in the 30-day moving average below the 60-day moving average suggests miner struggles. However, when the 30-day average surpasses the 60-day average, it typically triggers a reliable buy signal, often leading to substantial BTC price increases.

On July 23, the hash ribbons indicator moved out of the capitulation phase for the first time in over two months. The previous exit occurred in August 2023 when BTC/USD was trading below $30,000.

Trader Insights: Anticipating a Major Rally

Popular trader Mikybull Crypto highlighted the significance of this development, stating, BTC just witnessed a rare hash ribbon ‘Buy’ signal. He predicts that such signals often lead to explosive rallies and advises traders to get ready for a massive rally.

Bitcoin Hashrate and Price Dynamics

According to MiningPoolStats, Bitcoin’s hashrate was 676 exahashes per second as of July 22. Despite the positive signals from the hash ribbons indicator, BTC price action is currently in a state of flux on shorter timeframes. After an initial recovery that pushed the market past $68,000, the price action appears to be pausing, awaiting further developments.

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