Bitcoin's Hash Ribbons, a historically reliable metric for tracking miner capitulation and subsequent recoveries, have flashed a "buy" signal. This indicator, which monitors when the 30-day moving average of Bitcoin's hashrate falls below its 60-day average, suggests miners are under significant pressure. Such conditions have often preceded major price discounts and long-term accumulation opportunities.
Despite Bitcoin's price decline from its all-time high, currently fluctuating between key support near $90,000 and resistance at the yearly open around $93,300, this miner-based signal hints at underlying strength. Analysis indicates that while miners have increased their selling activity since October, these forced sell-offs have historically created robust buying zones. For a sustained recovery toward $100,000, Bitcoin must decisively break above the $92,000 resistance level and the 200-period simple moving average. Conversely, a drop below the $90,000 support could signal a deeper correction.
