Bitcoin bear market far from over? Analysts warn about falling and bouncing

Two well-known crypto analysts say BTC is still in a bear market, and short rallies are likely before further declines and a delayed bottom.

Bitcoin (BTC) has struggled to move past October’s weakness, even after being one of the best-performing assets through the first nine months of 2025. The cryptocurrency briefly climbed above $90,000 on Monday as traders bet on a New Year’s recovery. However, the upswing did not last long as BTC fell back to around $87,000.

Analysts are warning investors that such short-term gains could be a liquidity trap followed by renewed selling pressure.

Short term bounce, long term pain

Bitcoin is currently down more than 30% from its all-time high of $126,000 in October. Crypto analyst Mr Wall Street described the assets are in a bear market and said market makers are likely to continue driving down prices over the medium term. However, he noted that there could be a near-term bounce aimed at creating liquidity before another decline.

In his view, such a rebound could then be followed by a decline towards $64,000-$70,000, which he identified as the next downside target.

Furthermore, Doctor Profit echoed a similar broader sentiment. In the latest tweet, the analyst explained that Bitcoin is still in a strong bear market and that the bottom of the market has not yet been reached. In an earlier post, he warned BTC traders against expecting to buy the crash in the coming weeks, as the downtrend could last much longer.

He believes Bitcoin won’t bottom out until September or October 2026. Based on that outlook, Doctor Profit said he sees little upside in holding USDT, preferring instead to keep capital working through large allocations to silver and gold. He even revealed a large Bitcoin short of between $115,000 and $125,000.

Despite his long-term bearish stance, Doctor Profit added that he holds a medium BTC position in the short term, expecting a sideways phase and a potential rise to $107,000 before another move lower, possibly in February or March.

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Bear market structure

Also various on-chain metrics point to the formation of a bear market structure. For example, long-term holders are no longer consistently taking profits, as evidenced by the LTH SOPR hovering around 1.0. This level is historically below strong bull markets.

Meanwhile, the Bitcoin Cycle Market Index (BCMI) has fallen along with the price instead of stabilizing, meaning more downside or extended consolidation may be in store. This indicates that the market is moving into a bear phase, which is determined more by time and distribution than by rapid price movements.