bitcoin has likely bottomed out and is poised for further gains, Wall Street trader Bernstein said in a Tuesday note to clients, reiterating his $150,000 price target by the end of the year.
“We believe Bitcoin has found its bottom and is now rising,” wrote analysts led by Gautam Chhugani. The world’s largest cryptocurrency was trading around $71,000 at the time of this publication.
The broker also maintained its bullish view on bitcoin treasury company Strategy (MSTR), calling it a high-beta proxy for bitcoin with a “resilient, liquid and pressure-tested” balance sheet. The company, led by CEO Michael Saylor, holds approximately 3.6% of the total bitcoin supply, worth approximately $53.5 billion.
Bernstein has an Outperform rating on the strategy with a $450 price target. Shares were unchanged in early trading, around $138.10.
Analysts also highlighted growing demand for Strategy’s preferred instrument, STRC, which offers a monthly dividend of 11.5% with low volatility.
STRC’s perpetual structure helps reduce capital dilution while providing long-term capital, with trading volumes increasing 65% in the last three months, the report notes.
Bitcoin’s recent pullback comes after a sharp rise to all-time highs by the end of 2025, with prices falling as much as 45% from the peak amid a mix of macroeconomic and market-driven pressures. Analysts point to a backdrop of higher interest rates for longer, geopolitical risk linked to the Middle East and intermittent outflows from exchange-traded funds (ETFs) weighing on risk appetite.
Liquidation of leveraged positions and profit-taking by long-term holders accelerated the decline, triggering episodes of forced liquidations and increasing volatility.
Despite the magnitude of the correction, Bernstein analysts characterized the move as a temporary reset of sentiment rather than a collapse in fundamentals, pointing to the absence of systemic stress typically seen in previous crypto crises.
On the macro side, analysts noted that bitcoin has outperformed gold by 25% since the start of the conflict with Iran in late February, underscoring the cryptocurrency’s appeal as a portable, censorship-resistant asset during periods of geopolitical tension.
Institutional demand remains a key factor. The broker noted the resilience of ETF flows and the growing participation of banks offering bitcoin-related financial services.
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