This buy signal, recorded on March 24, 2025, is evident on both daily and weekly timeframes, marking a significant shift in market sentiment.

Market sentiment is currently buoyant, with traders like Titan of Crypto emphasizing the macro bullish nature of this signal, while Robert Mercer predicts Bitcoin could exceed $100,000 in the second quarter of 2025.

The Hash Ribbon, created by analyst Charles Edwards, uses two moving averages of Bitcoin's hash rate to identify miner capitulation and recovery phases.

Edwards supports the bullish interpretation of the signal, noting its rarity, as it has flashed only 20 times in Bitcoin's history, with an impressive 85% accuracy in indicating local lows.

Bitcoin has recently shown bullish signals as the Hash Ribbon metric issued a buy signal for the first time since July 2024, indicating the end of the miner capitulation phase.

In addition to the Hash Ribbon, the relative strength index (RSI) has broken a multimonth downtrend, confirming a bullish divergence for the first time since September 2024.

However, Jamie Coutts, chief analyst at Real Vision, cautions that while the Hash Ribbon is bullish, other on-chain metrics remain sluggish and may not align with historical price correlations.

Despite the bullish signals, many on-chain metrics have not reached previous cycle levels, raising questions about the current market conditions.

Bitcoin Archive has highlighted the reliability of the Hash Ribbon, noting that significant price gains have followed each of the last seven triggers of this indicator.

At the time of reporting, Bitcoin's trading price was $87,373, reflecting a recovery from disappointing price action earlier in March.

Conversely, Tony Severino, a Chartered Market Technician, expresses a bearish outlook, arguing that current price action and on-chain metrics do not support a bullish narrative.

Historically, major buy signals from the Hash Ribbon have appeared after significant market downturns, often coinciding with cycle bottoms.