Bitcoin is showing potential signs of recovery as key on-chain indicators, the Sharpe Ratio and Bitcoin Heater, enter favorable zones. The Sharpe Ratio has fallen below zero for the first time since mid-2023, suggesting improved risk-adjusted returns. Meanwhile, the Bitcoin Heater has reached its lowest level since November 2022, indicating a bullish trend. These signals are reminiscent of patterns observed before major bull runs in previous years, though some analysts warn of a possible short-term 'Dead Cat Bounce.'