Charles Edwards, a well-known analyst and founder of Capriole Investments fund, has identified a significant bullish signal for Bitcoin (BTC) with the flashing of a buy signal on the Hash Ribbon indicator.
Buy signal on Hash Ribbon indicator
“The Hash Ribbon indicator, developed by Capriole Investments in 2019, tracks the recovery of Bitcoin’s hash rate following periods of miner capitulation, identifying crucial buy signals. Historically, such signals have been associated with strong long-term investment opportunities,” Edwards noted.
The latest signal was triggered as the 30-day moving average (DMA) of Bitcoin’s hash rate dropped below the 60 DMA, indicating a potential recovery phase after miner capitulations. This pattern has previously resulted in significant price hikes, reflecting periods of deep discounts followed by substantial increases in Bitcoin’s value.
Bitcoin’s price response
Following the announcement by Edwards, Bitcoin experienced a modest 1% increase in price, rising from $65,780 to $66,400. However, Edwards believes this could be just the beginning, projecting a potential long-term price target of $300,000 for Bitcoin, representing a considerable 500% increase from current levels.
- Charles Edwards highlights a bullish signal on the Hash Ribbon indicator for Bitcoin.
- The indicator suggests a potential recovery phase for Bitcoin’s price following miner capitulations.
- Bitcoin’s price saw a modest increase after the signal, with a forecast of a significant long-term price target.
