Bernstein says Bitcoin’s downturn lacks systemic failures and keeps its long-term price target at $150,000 despite weak market sentiment.
Bernstein has reiterated its bullish stance on Bitcoin despite ongoing market weakness. The firm said the current downturn does not resemble past crisis-driven cycles.
Analysts maintained their long-term $150,000 target while describing recent losses as confidence-driven rather than structural.
Bernstein says current Bitcoin sell-off lacks past cycle failures
Bernstein analysts said the present Bitcoin bear phase shows no signs of systemic breakdown.
Previous downturns were driven by major failures such as Mt. Gox, Terra-Luna, and FTX. The firm said no similar events have appeared in the current cycle.
The analysts stated that Bitcoin’s network continues operating without disruption. They noted there have been no widespread insolvencies or liquidity freezes.
Hidden leverage has also not surfaced during this phase.
In a client note, the Bernstein team led by Gautam Chhugani said the weakness reflects sentiment pressure. They said the underlying investment thesis remains intact.
The firm reiterated its long-term Bitcoin price target of $150,000.
Institutional alignment and ETF structure support long-term outlook
Bernstein identified stronger institutional alignment as a key difference in this cycle. The firm cited the approval and rollout of U.S. spot Bitcoin ETFs.
Analysts said these products provide regulated access despite muted inflows.
They explained that tight financial conditions have limited risk asset demand. However, they said ETF infrastructure remains functional and ready for capital.
Bernstein expects inflows to increase as liquidity conditions ease. The analysts added that institutional products reduce operational and custody risks.
They said this structure offers stability during periods of volatility. The presence of regulated channels was described as a supportive factor for Bitcoin.
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Liquidity conditions and balance sheets shape downside risks
Bernstein said Bitcoin continues to trade as a liquidity-sensitive asset.
Analysts noted Bitcoin has lagged gold during periods of tight money. They attributed this trend to higher interest rates and reduced global liquidity.
The firm also addressed concerns tied to artificial intelligence and digital systems. Analysts said blockchains remain central to programmable finance.
They described Bitcoin as suitable for global machine-readable transactions.
Bernstein noted that large Bitcoin holders have structured liabilities for prolonged downturns.
Strategy CEO Phong Le said restructuring would only occur if Bitcoin stayed at $8,000 for five years.
The firm also said miner risks are lower due to diversification into AI-related energy demand.
Source: https://www.livebitcoinnews.com/bernstein-predicts-bitcoin-rebound-to-150k-despite-lingering-bear-worries/
