No Significant Bitcoin Crash Expected Until 2026

After one of its most challenging performances in Q4, Bitcoin (BTC) is predicted to end the year on a low note.

The asset is observed to remain in the bear market that began in September, according to an unnamed analyst known as Doctor Profit. He commented that the market has yet to complete its bottoming phase, expecting it to last another 12 to 14 months before reaching a definitive low.

Prediction of a 2026 Downturn

In recent comments, Doctor Profit projected that Bitcoin’s eventual low might hit around $60,000, indicating that the market needs extended sideways trading to build the necessary liquidity before moving towards final price targets. However, he anticipates a short-term surge toward the $97,000 to $107,000 region in the upcoming weeks, without a significant downturn expected before early 2026.

The market appears to be in a period of consolidation, aimed at creating downward liquidity. This controlled movement could psychologically exhaust investors, making it challenging for them to maintain their investment convictions long enough to purchase near the eventual bottom.

Doctor Profit indicated he is currently taking a bullish approach in the short term and has increased his Bitcoin holdings while still maintaining a short position as a hedge, allowing the opportunity to profit from a possible 20% rise before the overall downtrend resumes. He has linked Bitcoin’s performance to broader economic conditions and highlighted an extreme liquidity crisis in global markets, with stress levels comparable or worse than those witnessed in 2008.

He pointed to the US Federal Reserve’s recent adjustments allowing individual banks to borrow up to $240 billion daily against quality collateral, interpreting this as a sign of systemic weakness rather than an indication of rampant money printing. Such loans must be promptly repaid with interest, suggesting a strategy focused more on preventing liquidity crises than stimulating markets.

Doctor Profit has expressed concerns that these conditions signify a losing battle against inflation and escalating debt, predicting that a financial crisis will materialize in 2026. This crisis might lead to expansive monetary policies akin to 2020, significantly increasing the prices of Bitcoin and other asset classes while fiat currencies diminish in purchasing power.

Potential Short-Term Upside

Another analyst referred to as “Mr Wall Street” echoed Doctor Profit’s perspective, suggesting that while he remains bearish in the long run, short-term liquidity might not warrant immediate continuation of the broader decline. He anticipates a relief rally towards the $98,000-$104,000 range.

Having established long positions around $84,500, following Bitcoin’s support levels, he cautions against viewing this increase as anything other than a bull trap, stating expectations for another decline targeting the $64,000-$70,000 range in late Q1 or early Q2 of 2026. He characterized recent price swings as deliberate maneuvers to trap traders.

Not all analysts share the bearish sentiment, with Bitwise’s Chief Investment Officer Matt Hougan optimistic about Bitcoin reaching new all-time highs in 2026.