"Bitcoin Surpassed the Largest Mining Capitulation Since the Chinese Ban": Charles Edwards

• Edwards projects a positive turnaround backed by the behavior of the Hash Ribbons.
• The milestone comes after a semester with a 17.5% drop in Bitcoin's computing power.

Charles Edwards, founder of Capriole Investments, believes that the capitulation (i.e., mass exit) of Bitcoin miners has ended.

Assessing the current market landscape, Edwards stated: "We have just come out of the largest miner capitulation since China banned Bitcoin mining" and "eliminated 50% of the network overnight in 2021."

The executive highlighted the recovery in computing power that supports the network. Edwards explained that "the hash rate is showing its first signs of growth since 2025."

According to Edwards, there is an optimistic reading on the technical evolution. "This represents a macro trend change and this is how the Hash Ribbons should be interpreted in the new era of efficiency," Edwards asserted, adding: "If you know, you know what this means." Hash Ribbons is a metric indicator designed to identify periods of financial stress in miners and signal moments of recovery.

The analyst's chart illustrates the direct relationship between the price of Bitcoin and the Hash Ribbons metric. In the lower panel, the severe contraction experienced by the hash rate after reaching a peak between 2025 and early 2026 is evident, representing the period of the greatest disconnection of equipment in the network since 2021.

The final stretch of the hash rate curve shows a rebound and an upward crossover above its 60-day moving average, marked in the chart with a blue line. This technical pattern confirms the end of the capitulation period and indicates the incorporation of new Bitcoin mining equipment, which has historically anticipated phases of macroeconomic recovery.

Edwards' statement sparked debate. Bitcoin author Vijay Boyapati questioned the stance of the Capriole Investments founder regarding his previous forecasts. "You seem to have seamlessly changed from being a quantum bear to becoming a mining capitulation bull," Boyapati expressed via social media.

"Quantum, while a legitimate potential long-term threat, has been excessively exaggerated and often intentionally by those with an agenda," the investor told Edwards during the discussion.

Edwards rejected the criticisms of his previous analyses and defended his projection track record. "Does it seem like you haven't been paying attention to the content of the last 8 months?" Edwards responded to Vijay. Previously, on September 4, 2026, the executive had stated that "any advancement in Bitcoin's quantum protection will drive the price much higher."

The entrepreneur reiterated that the technological threat is accounted for in the current quotation. "Every time I post something bullish, people come out saying 'but quantum'," stated the founder of Capriole Investments. Edwards insisted: "I have been very consistent that the quantum risk is already priced in, that BTC is in a value zone, and that quantum is a bullish catalyst since February."

The statements about the trend change coincide with a deep profitability crisis in the mining sector. The network's hashrate closed the first semester of 2026 with a contraction of 17.5%, marking the worst streak for operators in the last five years, as reported by CriptoNoticias.

The network's computing power accumulated more than 300 days without marking new highs. This situation led economist Saifedean Ammous to propose adjustments in energy infrastructure, in a context where artificial intelligence began to compete for the available electrical supply for data centers.