Charles Edwards, CEO of Capriole, highlights a crucial market indicator in Update #51: the occurrence of the “Hash Ribbons” buy signal, which in the past signaled the best time to purchase Bitcoin.
This signal can be construed as suggestive of long-term benefits for investors in the digital asset space. Tune in to Capriole’s newsletter for more information on how to move through this critical market point.
Capriole CEO Charles Edwards Identifies Optimal Bitcoin Buying Opportunity with Hash Ribbons Activation
Hybrid technical indicator Hash Ribbons, created in January 2019, uses mining data to predict long-term BTC buying signals to assess miners’ financial stress.
It is such a signal when the 30-day average of the Bitcoin hash rate is below the 60-day average but converging, pointing to a strong market. Edwards Charles supports this theory as a reliable means for identifying Bitcoin’s wider market trends and long-term value prospects.
Charles Edwards has stated that the Miner Capitulation has started with the post-halving readjustment, and it is a phase well known for closures and possible bankruptcies among mid and low performers in the industry.
Thus, according to Edwards, the current situation resembles previous Halving cycles when mining rigs are progressively retired in the weeks following the event, which leads to hash rate declines.
This restructuring of the industry shows that Bitcoin mining is cyclical, and periods of correction can be followed by new phases of development in terms of speed and efficiency.
