Bitcoin jumped 25% over the past week, pushing toward $80,000 and leaving traders who had bet on a deeper correction scrambling. The rally, which broke through a key resistance level at $71,000, has prompted at least two prominent analysts to declare the bear market over — at least for now.
Why the rally caught traders off guard
The move came faster than most expected. Many traders had been positioning for a bottom in October, following the traditional four-year-cycle theory that has guided market expectations since Bitcoin's early days. Instead, the price surged this week, catching those who had sold short without cover.
According to analyst Doctor Profit, who tracks market flows, the rally was not fueled by an influx of new leveraged longs or heavy spot buying. It was driven by short sellers being forced to close their positions, turning 'bears into buyers against their will.' That mechanic is what makes the move potentially durable, he argues, because it leaves less overhead supply from leveraged bets that would need to be unwound.
Doctor Profit's technical take
Doctor Profit, a pseudonymous analyst with a sizeable following, said Bitcoin has entered a 'Soft Bull Market' after breaking above key resistance levels. He sees $71,000 as extremely strong support and $78,500 as the next major resistance, with the range between them described as 'noise.'
The daily RSI is not a major risk at current prices, he said, noting that the weekly and monthly RSI are in neutral regions. He also pointed to Bitcoin's reaction around $60,000 as evidence that significant capital is ready to enter when fear appears, and he doubts the market will offer another opportunity below $71,000.
Why the pattern looks like 2023
Doctor Profit compared the current chart to 2023, when Bitcoin rose from about $16,000 to $25,000, corrected 22% to $19,000, then surged to $30,000. He sees the same market psychology at play: a sharp breakout, a shallow pullback that scares off late longs, then a second leg up.
Ali Martinez, another widely followed analyst, noted that similar weekly gains appeared in 2019 and in January 2023, after the FTX collapse. He sees the latest surge as an early sign of a new bull market, though he stopped short of calling the bottom definitive.
Doctor Profit said a break above $78,500 could send Bitcoin toward approximately $82,000. A full bull market escalation is expected once BTC breaks $82,000 with strength, he said. If that level holds, the market could see a sustained move higher. If it fails, the $71,000 support area becomes the focus.
For now, the rally has already delivered a 25% weekly gain, and the market is watching to see whether the momentum can carry through the weekend. The traders who expected an October bottom are now re-evaluating their positions, and the fear of missing out is starting to creep back in.
