The Bitcoin Halving is now exactly 6 weeks. While a Bitcoin price Explosion did not materialize as expected, could increase the price slightly since the 11. May with a gain of nearly 8.5% since. What occurred, however, in fact, was a Miner capitulation, when the hash rate experienced a significant decline of almost 40% of the 137 TH/s at the depth of 84 TH/s. Meanwhile, these enormous losses are balanced again, and the current Bitcoin Hashrate is depending on the source, between 105 and 110 TH/s. In this context, with the strong recovery of the Hashrate of one of the most accurate Bitcoin indicators, the Hash Ribbons indicator moves back to a buy signal to. What does this mean for the Bitcoin exchange rate?
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Signal from the Bitcoin Hash Ribbons indicator in point of view
In this article we want to pay special attention to one of the most reliable Bitcoin indicators, the Hash Ribbons indicator. This combines the Hash Rate of Bitcoin with the current Bitcoin price and the resulting Difficulty.
In the past, has shown this indicator to be very reliable. So he has announced, for example, the upward trend in Bitcoin from mid-August 2016 until beginning of June 2017, after the indicator leave after 28 days, the red Zone and a little later a clear buy signal has generated.
At the end of the year 2018, he said, the trend reversal for Bitcoin, which peaked in mid-2019 in the temporary High of around 14,000$.
After the strong recovery of the Bitcoin Hashrate, and the significant adjustment of Mining Difficulty, Hash, Ribbons indicator is now moving back to a buy signal, which, however, was not triggered yet. To Charles Edwards, Digital Asset Manager at Capriole Investments writes:
The “recovery” of the Hash Rate looks like it could happen using the forecasting technique of @PrestonPysh next weekend!
The Hash Ribbon “Buy”Signal also requires that the price momentum improves from here, so it could take a little longer than a week.
It could be for a long time, the last HR accumulation zone.
Hash Rate “Recovery” looks like it may occur next weekend using the @PrestonPysh forecast technique!
The Hash Ribbon “Buy” signal, therefore, requires price momentum to improve from here, so could take a bit longer than a week.
May be the last HR accumulation zone for a long time. pic.twitter.com/JiFqMTrCbJ
— Charles Edwards (@caprioleio) June 20, 2020
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Last signals generated massive profits
The development to Trigger a new buy signal is crucial for the bitcoin Bull Case, as past signals from said plurality of rates of explosions before. As Charles-Edwards has pointed out in a Tweet at the end of December last year, was the maximum average profit after Triggering a buy signal at about 5500%.
Hash Ribbons, Buy confirmed.
This is just the 10th time these conditions have been met for #Bitcoin.
It is highly likely we will never see $BTC under $6000 ever again.
All other occasions, saw an average gain-to-cycle-peak of +5000%.
Now is the period to Buy Bitcoin, and never sell. pic.twitter.com/hSH9BtRhsj
— Charles Edwards (@caprioleio) December 28, 2019
However, as promising as the Hash Ribbons indicator is also so realistic, you have to stay still. Also, this indicator is not in 100% of cases correctly. As Edwards wrote in the above Tweet:
It is very likely that we will never again see $BTC under $6000.
However, as the March to 2020 has shown, should not agree to this assessment, as the Bitcoin crashed in the Wake of the corona crisis on up to 3,700 USD. Should be resolved in the next few days or weeks of a purchase signal from the Hash Ribbons indicator, would increase still the probability of a rally massively. Traders and investors can therefore be an interesting few weeks and months.
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The comments in this article do not represent any trading recommendations or investment advice.