Hash Ribbon Suggests Buying Opportunity for Bitcoin Amid Market Volatility

The key technical indicators for Bitcoin are signaling encouraging signs of a potential rally. The Bollinger Bands, a tool favored by professional traders, currently show a critical turning point as the market faces volatility. With the current price hovering around $77.78K, technical signals are sending mixed messages, but many positive indicators suggest that accumulation opportunities are forming.

Hash Band Signals a Buying Edge

Bitcoin’s hash band, a measure based on the 30-day and 60-day moving averages of hash rate, has issued a notable buy signal. According to Cointelegraph, this indicator appears when the short-term moving average dips below the long-term average, a situation often associated with periods when miners significantly reduce activity and then recover.

According to Capriole Investments, at the current price, Bitcoin still represents a long-term accumulation opportunity based on the signal from the band. Analysts at On-Chain Mind note this is one of the largest band signals in history. When miners withdraw from the market and then return, it often marks the end of unavoidable sell-offs; history shows this is followed by attractive long-term buying opportunities.

Fear and Greed Index: Golden Crossover Signals Growth

The Fear and Greed Index further reinforces this positive outlook through a “golden crossover”—the golden cross of moving averages. Data from CryptoQuant reveals an optimistic shift in sentiment: for the first time since May 2025, the 30-day moving average has crossed above the 90-day moving average.

CryptoQuant analyst MorenoDV_ points out that these crossovers often occur after prolonged periods of fear, typically near internal price compression zones rather than global peaks. This often predicts a positive price reaction in the following weeks. Currently, market sentiment is evenly split with 50% optimistic investors and 50% cautious, reflecting uncertainty but also potential growth from the current levels.

CryptoQuant Data and Technical Support Zones

According to Crypto Solutions, the $90,000 zone plays a crucial role as a psychological support level. Although Bitcoin is currently trading at $77.78K, below the levels previously monitored by analysts, support levels still hold meaningful positions. When key support is maintained, buyers remain in control of the market, creating potential for another upward move.

Important support levels to watch include the April 2025 low at $74,500 and the 200-week moving average at $68,000. These zones represent areas where price could find a foundation to restart its upward trend.

Bear Scenario and Downside Targets

However, risks remain. If Bitcoin breaks below and closes under $90,000 on the weekly chart, momentum could shift from bullish to bearish. Such a scenario could lead to a deeper decline toward $80,000 to $85,000. The measured target of a bearish correction could extend down to $57,050, where Bitcoin might bottom if the downtrend persists.

In summary, while the Hash Band and Fear and Greed Index are signaling positive signs, the Bitcoin market still requires caution. Monitoring key support levels and price reactions around these critical points will determine whether the buying opportunities indicated by the Hash Band materialize.