Bernstein said bitcoin’s latest sell-off reflects fading confidence rather than structural damage, describing the current phase as the weakest bear market in its history.
In a note to clients, the firm said the downturn lacks the hallmarks of past cycles, with no major exchange failures, leverage blowups or systemic breakdowns across the crypto industry.
“What we are experiencing is the weakest Bitcoin bear case in its history,”
The analysts wrote, adding that:
“Nothing blew up during the recent decline.”
Bernstein analysts, led by Gautam Chhugani, reiterated a $150,000 bitcoin price target for 2026, citing institutional adoption, spot ETF growth and expectations of improving global liquidity.
The firm said bitcoin’s underperformance versus gold during recent macro stress reflects its continued sensitivity to liquidity conditions rather than a failure of its long-term investment case.
Bernstein also downplayed concerns around corporate leverage and miner capitulation, noting that major holders such as Strategy could withstand prolonged downturns without forced restructuring.
The analysts added that longer-term risks, including quantum computing, are not unique to bitcoin and are likely to be addressed through broader shifts toward quantum-resistant standards.
At the time of reporting, Bitcoin price was $70,418.19.