Bitcoin Enters Bullish Phase Amid Hash Ribbon Buy Signal Confirmation
Bitcoin traders are optimistic as the Hash Ribbon tool signals a potential bullish trend for Bitcoin for the first time in eight months. The metric indicates the end of miner capitulation, sparking optimism for a rise above $100,000 in Q2 2025. Additionally, a bullish divergence in the RSI supports the possibility of a market turnaround.
Recent developments in Bitcoin trading indicate a shift towards a bullish market, as noted by the popular Hash Ribbon metric. This tool, established by Capriole Investments, has registered its first buy signal in eight months, suggesting a significant turning point for Bitcoin’s price trajectory. This signal is particularly encouraging for traders looking toward a potential resurgence in Bitcoin’s value.
The Hash Ribbon metric signifies the conclusion of a miner capitulation phase, suggesting that Bitcoin miners are likely to rebound soon. This tool operates by analyzing hashrate through two moving averages: the 30-day and 60-day. A buy signal occurs when the 30-day moving average crosses above the 60-day one, reflecting improved miner profitability and long-term price recovery.
Data from Cointelegraph Markets Pro indicates that the recent buy signal occurred on March 24, 2025, visible on both daily and weekly charts. Trader Titan of Crypto characterized this development as “macro bullish.” The previous buy signal emerged in July 2024, prior to an upward price movement, echoing the trend observed after the August 2023 signal.
Optimism has been reignited within the trading community, considering the frustrating price actions earlier in Q1 2025. Fellow trader Robert Mercer remarked, “One of the most accurate mid-term indicators is bullish now,” expressing expectations for Bitcoin to surpass $100,000 in the second quarter of 2025.
In tandem with the Hash Ribbon signals, Bitcoin has also shown signs of exiting a prolonged downtrend in the relative strength index (RSI). Cointelegraph highlighted that the RSI has confirmed a bullish divergence on a weekly basis for the first time since September. Moreover, recent movements have demonstrated a support retest following the breach of a long-standing downward trend line.
Trader and analyst Rekt Capital confirmed through social media that “the multimonth RSI downtrend is over,” reinforcing the sentiment of an impending price strengthening for Bitcoin. However, it is essential to note that this article does not constitute investment advice and advises readers to undertake their own research before making financial decisions.
In summary, the emergence of the Hash Ribbon buy signal suggests a potential bullish trend for Bitcoin, with traders optimistic about a price recovery. The indicators of miner profitability and a positive divergence in the RSI further support this outlook. However, prudent investment practices should be maintained, as market conditions can remain volatile.
Original Source: cointelegraph.com
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