Despite falling prices, one of the most important and profitable buy signals in the history of Bitcoin is about to trigger.
Unless a sharp decline happens and miners powering the cryptocurrency protocol begin to capitulate, the signal is just days away from confirming.
Bitcoin Price Holds Above $9,000, Just Days Away From Most Important Buy Signal Triggering
Bitcoin price has traded sideways for the last month and then some. Volatility in the normally notoriously explosive cryptocurrency asset has reached shocking lows.
All signs suggest that the leading cryptocurrency by market cap is gearing up for a massive move. Perhaps one of its biggest ever.
Data suggests that when Bitcoin trades sideways and consolidates for this long, it typically moves over 20%. A pump usually follows a breakout, but the longer the sideways, the more dangerous the results.
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The last two times volatility dropped this low, was prior to Bitcoin’s drop to its current bear market bottom at $3,200. Before that, kicked off the asset’s historic bull market and rise to $20,000.
The instance that resulted in the bull market, came just after the asset’s last block reward halving in 2016. The cryptocurrency is at a similar point in its market cycle.
More signs are suggesting that the asset may be ready for another breakout to the upside. Hash Ribbons, one of the most important and profitable signals ever, are just days away from triggering a buy signal.
Hash Ribbons Buy Signal Kicked Off Last Bull Market, And An Over 3,000% ROI
There’s no arguing the importance of the Hash Ribbons indicator. The tool is yet another important Bitcoin fundamental analysis indicator designed by analyst Charles Edwards.
Edwards also created tools that look at cost of production, energy value, and much more.
These tools make up some of the most critical tools in Bitcoin analysis, especially form a fundamental standpoint.
Hash Ribbons signal that miners that power the network are capitulating. When that’s over, it signals a “buy.”
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Several times throughout cryptocurrency’s history have resulted in a significant upside following the buy signal triggering.
It triggered just ahead of Bitcoin’s rise from the bear market bottom to $14,000 in June 2019. It also triggered just ahead of the pump to $10,000 in early February, and again on the way up to current levels.
Prior to those instances, the Hash Ribbons buy signal resulted in the last bull market. After the buy signal, Bitcoin price rose over 3,000 percent, reaching an all-time high of $20,000.
Unless a catastrophic collapse occurs, this buy signal is just days away from triggering. If it does, these current lows may be the cheapest Bitcoin will ever be again.
by Tony Spilotro on June 29, 2020 at 04:30AM
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