Bitcoin Hovers Near $71,000 as Bernstein Analysts Declare the Token Has "Found a Bottom"

Deep News03-26

On Wednesday, Bitcoin (BTC-USD) traded near the $71,000 level. This follows an analysis from Bernstein suggesting the cryptocurrency may have finally established a low after a more than five-month retreat from its record high.

In a report this week, Bernstein analyst Gautam Chhugani wrote, "Bitcoin looks to have bottomed." The firm reaffirmed its year-end 2026 price target for Bitcoin at $150,000.

Bitcoin, which had outperformed both gold and equities during the recent Middle East conflict, dipped below $70,000 on Tuesday. Over the past three weeks, the digital asset has largely traded within a range of $65,000 to $75,000.

Chhugani stated, "We believe Bitcoin has found a floor and is now embarking on an upward trajectory."

The trend of outflows from Bitcoin spot exchange-traded funds (ETFs) seen earlier this year has reversed. Current ETF holdings now account for approximately 6.1% of the total Bitcoin supply.

Furthermore, digital asset giant MicroStrategy (MSTR) has continued its aggressive purchasing. Chhugani noted that MicroStrategy now holds roughly 3.6% of the total Bitcoin supply, making its stock an attractive investment vehicle.

He added, "We believe MicroStrategy, backed by a strong, liquid, and stress-tested balance sheet, offers investors high-beta exposure to Bitcoin's price appreciation."

Bernstein maintains an "Outperform" rating on MicroStrategy with a price target of $450.

Since retreating from its all-time high of $126,000 last October, Wall Street has been cautious about declaring a definitive bottom for Bitcoin. Year-to-date, Bitcoin is down approximately 20%, marking a fifth consecutive month of declines.

However, since the joint US-Israel military engagement with Iran, Bitcoin has gained over 6%. During the same period, gold (GC=F) has declined by 15%.

Bitcoin rebounded alongside the broader US stock market on Monday after President Trump signaled openness to negotiations with Iran and delayed strikes on the country's energy infrastructure.

Sean Farrell, Head of Digital Asset Strategy at Fundstrat, described the rebound as "structurally positive, but unconfirmed."

He pointed out, "Geopolitical uncertainty remains elevated, core demand drivers have softened, and bulls still need to validate the upside thesis. Remain nimble and keep some cash on hand."

Farrell had previously warned of a potential market correction in the first half of the year, to be followed by a Bitcoin rally that could push its price to $115,000 by year-end.

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Comments

Guavaxf3006
03-28 04:33
Guavaxf3006
Wrong. Bitcoin is now crashing below $66k. And so too has all other cryptos. But they are not alone. Tech and S&P stocks have all collapsed as well. This is an everything crash. Everthing except Gold and Silver. But this has only just begun. Starting Monday, unless the war Trump started ends, there will be more blood on Wall Street. And when they happens, you will see a panic rush into the safety of gold and silver. Peter Schiff is correct. And he has been the sole true voice out if the desert. All the money that has fomoed into Cryptos and AI stories will be pulled out by the panicking retail investors. Not the big money though. I believe these big boys have already been exiting quietly. And watch the crypto treasury plays next week. This will be an even