Bitcoin miners will need to capitulate before BTC can take off on a new rally, according to the popular on-chain analyst Willy Woo.
Woo tells his 1.1 million followers on the social media platform X to look for compressions in Bitcoin hash ribbons when thinking about when to buy and hold.
“I know it sucks, but BTC is not going to break all-time highs until more pain and boredom plays out.
On the bright side, miners are capitulating and when that is through, it nearly always ends in a huge rally.”
Bitcoin hash ribbons attempt to identify periods of time when Bitcoin miners are distressed and could be capitulating, according to on-chain analytics firm LookIntoBitcoin.
Woo notes that BTC’s price will continue to suffer until the hash market picks up volume.
The on-chain analyst also looks at the current level of paper bets on Bitcoin.
“The solid yellow chart is a z-score oscillator looking at how significant it is locally.
We need a solid amount of liquidations still before we get the all clear for further bullish activity.”
BTC is trading at $65,088 at time of writing. The top-ranked crypto asset by market cap is down nearly 7% in the past week.
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