Bitcoin issues its first "buy the dip signal" in 8 months; has miner capitulation ended or opened a new bull run?

Recently, the Bitcoin Hash Ribbon indicator has shown "buy" for the first time since July 2024, which may herald the arrival of a Bitcoin bull run. This has excited many Bitcoin traders, as the indicator is one of the important references for Bitcoin's price.

Hash Ribbon is a tool created by Capriole Investments to track the profitability of Bitcoin miners. When miners' profitability is at risk and network participants capitulate, it often signals a long-term price reversal. This tool monitors these changes through two hash rate moving averages (30-day and 60-day). When the 30-day hash rate average crosses above the 60-day average, it generates a buy signal.

According to TradingView data, the Hash Ribbon issued its latest buy signal on March 25, which can be seen in both the daily and weekly time frames.

The market reaction is also quite enthusiastic, with several senior traders expressing optimism about the future. Trader Titan directly stated, "This is a macro bullish signal," while Robert Mercer even predicts that "Bitcoin will break $100,000 in the second quarter."

Historical data also supports this optimistic expectation, as the last time a similar signal appeared was in August 2023, after which Bitcoin initiated a considerable bull run.

Another positive signal comes from the technical indicator RSI (Relative Strength Index). The weekly RSI has shown a bullish divergence for the first time since September last year, and the daily RSI has successfully broken through the descending trend line formed since November last year.

Analyst Rekt Capital confirmed: "The prolonged downtrend of the RSI has ended." These technical improvements, combined with reduced pressure on miners, have created favorable conditions for a rebound in Bitcoin prices.

However, investors also need to remain rational. Although the current signals are positive, there is still uncertainty in the market. For example, the performance of Bitcoin in the first quarter of this year was far below many people's expectations, indicating that relying solely on technical indicators cannot fully predict market trends. Nevertheless, for long-term holders, this is undoubtedly a positive signal worth paying attention to.

#比特币 # HashRibbon #矿工投降 # Technical Analysis