During every period of major Bitcoin correction, the most important question on investors’ minds remains the same: has the bottom been reached? After the strong sell-off in the cryptocurrency market in recent months, this debate has once again become central, and leading investment funds and managers in the sector have shared their assessments of the current market outlook.
Most professional investors believe that Bitcoin’s downside risks have not yet completely disappeared. Global economic uncertainties, tight financial conditions, ETF outflows and a shift of capital to fast-growing sectors like artificial intelligence could lead to continued pressure on crypto assets, according to fund managers.
David Grider, partner at Finality Capital, said Bitcoin and digital assets are in the middle or end of a downtrend and the market will likely not see its true bottom until late in the third quarter or early in the fourth. Likewise, many fund managers do not expect a strong recovery in the short term.
However, some long-term investors view current price levels as an opportunity. Representatives from institutions such as VanEck and Pantera Capital said confidence in Bitcoin’s long-term potential remains and many investors view current prices as a progressive buying opportunity.
The funds’ investment strategies also reflect this prudent approach. As many institutions increase their cash positions, they prioritize hedging strategies over directional trades. In particular, AI-driven decentralized finance (DeFi), tokenization, and blockchain projects continue to attract investor attention.
On the other hand, high interest rates, geopolitical tensions, and lack of liquidity are among the risks facing the market. Some fund managers also cite Bitcoin’s important position in Michael Saylor’s business strategy and developments in quantum computing as new risk factors.
Year-end price forecasts are generally conservative. None of the funds that commented expect Bitcoin to end 2026 above $100,000. While some managers are forecasting a bottom between $40,000 and $55,000, they believe a recovery toward $65,000 to $75,000 by the end of the year is more likely.
Overall, while institutional investors maintain a positive view of Bitcoin’s long-term future, they are cautious in the short term. Therefore, whether the market will enter a new uptrend appears to depend on macroeconomic conditions and the flow of institutional capital.
*This does not constitute investment advice.