The Hash Ribbons indicator shows a Bitcoin buy signal.

Gate News bot message, crypto assets analyst Darkfost stated: "We recently received new buy signals from the Hash Ribbons indicator. This indicator helps investors assess the stress levels of the Bitcoin mining ecosystem (Note: Hash Ribbons is a technical analysis indicator based on Bitcoin mining difficulty and computing power).

Given that the Bitcoin hash rate has recently reached a historic high, this is not surprising.

The hash rate compares the 30-day and 60-day moving averages to identify periods when miners are under significant pressure. In this case, it is important to understand that this signal is a short-term negative signal.

Because when mining becomes unprofitable for certain miners, they are forced to sell Bitcoin to maintain operations. Importantly, these sell-offs often create interesting long-term buying opportunities.