Bitcoin (CRYPTO: BTC) may be entering the final phase of its bear market, with widespread expectations for a drop to $40,000 possibly exaggerated, according to a prominent trader.

Three Camps In BTC Market

In his “Sunday Report”, crypto analyst Doctor Profit said the current market is split into three camps:

  • Those expecting Bitcoin to bottom between $40,000 and $50,000.
  • Those who believe the bottom is already in.
  • A smaller group anticipating a decline to $28,000-$33,000.

The largest group now expects a $40,000-$50,000 bottom—a view he originally held near $120,000 but has since revised.

Instead, the analyst now considers the $54,000-$64,000 range to be the key accumulation zone, where he started dollar-cost averaging into Bitcoin and Ethereum (CRYPTO: ETH) in 5% increments within that range.

"The bottom the mass is waiting for is the bottom the market will not deliver in the way they expect," he said, arguing that consensus price targets often lose their effectiveness once they become widely adopted.

Despite his accumulation strategy, the analyst stressed that he does not believe Bitcoin has entered a new bull market.

Instead, he described the current environment as the final stage of a bear market, arguing that the best long-term investment opportunities typically emerge before the broader market recognizes a trend reversal.

Michael Saylor Selling Viewed As Potential Opportunity

Doctor Profit also addressed reports that Strategy (NASDAQ:MSTR) Executive Chairman Michael Saylor could sell as much as $5 billion worth of BTC.

Rather than viewing potential sales as bearish, he argued that forced selling from a large holder could create additional liquidity for long-term buyers.

"If Saylor’s $5 billion hits the market inside my zone, I welcome it," the analyst said, adding that any additional weakness between $54,000 and $64,000 would improve his average entry price.

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