The on-chain indicator Bitcoin Classic (BTC) has experienced a “hell bounce” despite the fact that the price movement is still uncertain.

In a tweet on July 9, Philip Swift, creator of Look Into Bitcoin, highlighted the radical change in Puell Multiple’s trajectory.

Puel’s speed and hashish give a “good grade”
A misleadingly simple calculation, Puell monitors the behavior of miners to understand the extremes of the bitcoin market.

It worked very well as an indicator of when the highs and lows of the bitcoin price could come, and at the end of June it fell into the green “buy” area for only the fifth time in history.

Partly thanks to a record difficulty adjustment last weekend, says Swift, Boyle has now emerged – and if it continues, higher prices should logically follow.

“A hell of a bounce of green this week for the Boyle multiplier,” he summed up.

This is largely due to the complexity of the setup and the increased hash speed. It would be a good sign if we saw this, and the hash speed will continue to grow rapidly as bitcoin miners return to the surface. ”
As Cointelegraph reports, miners returning to work after being deported from China will create more competition and increase bitcoin hash speeds, and find it difficult to return to meet the change.

The estimates vary a lot, depending on when the crash ends, which really affects mining.

Bitcoin Puell Multiple and BTC / USD Chart. Source: LookIntoBitcoin.com
Meanwhile, a Puell reversal could lead to a drop in the total price of bitcoin. As a trader and analyst at Rekt Capital recently pointed out, a decline in the green is usually followed by a BTC / USD bottom shortly afterwards.

The transition to the same green occurs when Bitcoin is still preparing to hit bottom, which is not entirely in line with the price action.

Hide open shades of gray
The Bitcoin price movement is gaining momentum as the weekend progresses, which may nevertheless lead to a reversal in line with the latest trends in the short term.

Related: BTC price restores $ 33,000 as square confirms basic plans for Bitcoin Wallet

Upcoming events in shades of gray remain the subject of debate, but opinions differ on whether this will affect BTC / USD.

“This topic is the next big story,” trader Michael van de Poppé said in Saturday’s update, placing it alongside topics as expiration of bitcoin options.

He added that there is already a negative bias in the cryptocurrency markets, which may give over-credibility to unlock as a threat to price stability.

Source: CoinTelegraph

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