Bitcoin’s price has been falling, dipping below $90,000. Even with positive news like Trump’s executive order for a Strategic Bitcoin Reserve (SBR), the price isn’t going up. This has a well-known crypto analyst, Doctor Profit, worried.
Doctor Profit Sounds the Alarm
Doctor Profit thinks a major Bitcoin correction is coming. He’s shared his reasons on X (formerly Twitter), saying current market conditions signal the start of the first big Bitcoin price drop of this cycle.
The SBR: Hype vs. Reality
Doctor Profit says he’s selling a lot of his Bitcoin and betting against it (going “short”). He points to the SBR news as a big reason for his change of heart. While many investors saw the SBR as huge, big players already factored it into the price.
The expectation was that the US government would buy a ton of Bitcoin to boost the reserve. But the executive order mostly covered Bitcoin seized in past investigations. This disappointed many who were expecting a big price boost. Doctor Profit says the timing of the executive order—sooner than he expected—changed the market dynamics. He believes it’s now setting the stage for a long-term price drop.
A 40-50% Drop Incoming?
Doctor Profit believes Bitcoin hasn’t had a real correction yet this cycle. Bull markets usually see at least one 40-50% drop before hitting new highs. He thinks this is the start of that drop.
He’s already sold half his Bitcoin (bought at $16,000) and is betting against it at prices between $90,000 and $102,000. He plans to take profits at $74,000, then sell everything around $50,000-$60,000, and buy back double his holdings.
Even though he’s bearish in the short term, Doctor Profit still thinks Bitcoin will eventually hit $120,000-$130,000.
At the time of writing, Bitcoin is trading at $86,530.
