Indeed, Bitcoin’s price has been on a rollercoaster ride in recent weeks, returning to levels most investors are used to. However, last week was a fairly quiet one for the leading cryptocurrency, as it was for much of the digital asset market.
Interestingly, the latest on-chain insights suggest that the cryptocurrency market, specifically Bitcoin btcusd, may not be inactive for long.
Bitcoin Price Momentum Turns Positive – Will This Impact the Price?
In a recent post on the X platform, popular cryptocurrency expert Ali Martinez said, open The Bitcoin miner capitulation appears to be over. This on-chain observation is based on a shift in the Glassnode Hash Ribbon indicator, which measures Bitcoin’s hash rate.
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The tick bar typically includes two moving averages; including the short-term (30-day) and long-term (60-day) tick rate. The intersection of the short-term moving average with the long-term moving average indicates a miner capitulation, which is characterized by a large-scale sell-off by miners.
On the other hand, when the 60-day bar falls below the 30-day bar, it signals the end of the capitulation and the potential beginning of a recovery phase for the network. As shown in the chart below, this positive crossover seems to be the current state of Bitcoin, indicating an optimistic future for the leading cryptocurrency.
Ultimately, this means that Bitcoin miners are returning to the network and resuming operations, with their profits increasing. Historically, the end of miner capitulation is a bullish sign, as it often precedes large price jumps in the leading cryptocurrency. Martinez highlighted this in his post on X, saying “this could present a good buying opportunity.”
Another indicator that supports this on-chain disclosure is the Bitcoin miners’ profit/loss sustainability metric, which measures how fair miners’ revenues are. According to the latest Data from CryptoQuantBTC miners have made some gains over the past few days, putting them in the fairly paid zone of the index.
Bitcoin Price at a Glance
At the time of writing, Bitcoin is trading at around $68,230, reflecting a mere 0.7% increase over the past 24 hours. As we concluded earlier, the leading cryptocurrency has had a quiet week in terms of price action, hovering between $64,000 and $68,000.
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According to CoinGecko data, BTC’s price has risen by just 1% in the past week. However, the cryptocurrency has retained its position as the largest digital asset in the sector, with a market cap of over $1.33 trillion.
Featured image by iStock, chart by TradingView