CryptoQuant analysts have issued a buy signal for Bitcoin based on the latest data from the Hash Ribbons metric, according to Golden Finance. The Hash Ribbons metric measures the level of stress in the miner ecosystem by analyzing the 30-day and 60-day moving averages of Bitcoin’s hash power.
Currently, the computing power of Bitcoin has reached a record high, which puts miners under considerable short-term pressure. In this situation, some miners may be forced to sell the Bitcoins they hold in order to maintain their operations. However, based on historical experience, this kind of Bitcoin sell-off caused by miner pressure usually creates good buying opportunities for long-term investors.
The Hash Ribbons indicator gave a buy signal this time, suggesting that the market may be in a stage suitable for long-term investment in Bitcoin.
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