A chain shortcut ribbon indicator designed to identify the periods of the capitulation of Górnik and subsequent recovery-he released a stubborn signal for Bitcoins. Several known data in the BTC community emphasized this event through posts on X, which suggests that the signal may mean a turning point on the market.

Ultimate Bitcoin Buy Signal?

For the first time introduced by Analyst Charles Edwards, the Hash ribbon is based on two medium-sized (usually 30-day and 60-day medium Bitcoin abbreviations) in order to determine when the difficulty of extracting and supplying the abbreviation could be captured and recovering. Traditionally, the “Buy” signal is caused when the 30-day one is exceeded by far above 60-day, which indicates that any period of stress powered by a miner may end.

According to historical data, the main purchase signals often appear after the strict market situation, sometimes convergent from the bottom of the cycle. Although the indicator is not infallible, it correctly identified the previous few low in Bitcoin’s history in the years 2011–2012, during the depth of the Bear 2014–2015, around $ 3,000 at the end of 2018-Eaerly 2019, and near the region $ 29,000 in mid-2018.

Shortly after starting the latest crossover, popular Bitcoin Archive commentator Published: “Bitcoin Hash-Ribbon flashes the purchase signal-it is one of the most reliable” buy “indicators. Significant price increases took place 7 out of the last 7 times this indicator was launched. “

Edwards, the creator of the Hash ribbon, sent this post, a movement that many interpreted as the support of the analysis. By adding to the discussion, the user noticed: “The signal flashed only 20 times in Bitcoin’s history. 17/20 times the latest local low level has never been violated at closing. We can sweep minima, and even a wick below, but 85% of the time at the lowest level and it is only here.”

Meanwhile, Jamie Coutts, the main analyst at Real Vision, accented The importance of monitoring many indicators on the chain, even when the ribbon from hashish flashes stubborn: “The commonly observed signal of the Bitcoin gibberish ribbon just fired. Although the chain activity remains slow, indicators with the strongest historical correlation from future price efficiency are green.”

In particular, many signals in the chain did not reach the levels of previous cycles, even when the Bitcoins price reached almost USD 110,000 in mid -January. Also, conventional technical signals did not reach peaks from the past.

Tony Severino, chartered market technician (CMT) and head of research in NewsBTC, recently, he had shifted From stubborn to the bear position in Bitcoin. Severino, who is also the founder of Coinchartist.io, claims that the price and Bitcoin indicators and the chain indicators do not support the stubborn universal narratives in previous cycles.

“The idea that Bitcoin must achieve the extremes of indicators on the indicators is a dangerous way of thinking. Higher high prices and lower maxima on the oscillator is bear,” said Severino recently.

Severino warns against the expectation of Bitcoin, which will recreate its historical pattern of pushing certain shoot indicators (e.g. RSI or MacD) to extreme levels. Instead, he notes that discrepancies – where the price climbs to up-to-date ups, but technical indicators do not confirm these ups – exhaustion of the signal market. “The tools I use are bears, dot,” he noticed by X.

During the BTC press it traded at USD 87,373.

A distinguished painting created from Dall.e, chart from tradingview.com