Bitcoin has likely bottomed and is poised for further gains, Wall Street brokerage Bernstein said in a note to clients on Tuesday, reiterating its $150,000 price target for the end of the year.
“We believe that Bitcoin has found its bottom and is now heading higher,” wrote analysts led by Gautam Chhugani. The world’s largest cryptocurrency was trading around $71,000 at press time.
The broker also maintained its bullish view on the Bitcoin Treasury Company (MSTR) strategy, calling it a high-beta indicator for Bitcoin with a “resilient, liquid and pressure-tested” balance sheet. The company, led by Executive Chairman Michael Saylor, holds about 3.6% of the total bitcoin supply, worth about $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 the strategy’s favored instrument, STRC, which offers a monthly dividend of 11.5% with low volatility.
STRC’s perpetual structure helps reduce equity dilution while providing long-term capital, with trading volumes up 65% over the past three months, the report notes.
Bitcoin’s recent pullback comes after a sharp rise to record highs in late 2025, with prices falling as much as 45% from the peak amid a mix of macroeconomic and market-driven pressures. Analysts point out that the higher and longer interest rate environment, Middle East-related geopolitical risk and intermittent outflows from exchange-traded funds (ETFs) are weighing on risk appetite.
The unwinding of leveraged positions and profit-taking by long-term holders accelerated the decline, triggering episodes of forced liquidations and adding to volatility.
Despite the magnitude of the correction, Bernstein analysts called the move a temporary reset in sentiment rather than a collapse in fundamentals, noting the lack of systemic stress typically seen in previous crypto downturns.
On the macroeconomic front, analysts noted that bitcoin has outperformed gold by 25% since the start of the Iranian conflict in late February, underscoring the cryptocurrency’s appeal as a portable, censorship-resistant asset during periods of geopolitical stress.
Institutional demand remains a key driver. The broker highlighted the resilience of ETF flows and the growing participation of banks offering Bitcoin-related financial services.
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