Investing.com -- Bernstein analysts believe the worst of Bitcoin’s correction is likely over, with fresh upside ahead as the largest corporate holder of the token, Strategy, continues to expand its treasury.

In a note on Tuesday, analyst Gautam Chhugani stated, “We believe Bitcoin has found its trough and is now heading higher,” adding that the firm retains its $150,000 year-end 2026 price target.

Bernstein highlights the resilience of Strategy during Bitcoin’s drawdown from its $125,000 peak in late 2025.

The company now owns 3.6% of total Bitcoin supply, equivalent to $53.5 billion in NAV. According to the note, “Strategy offers a high-beta exposure to Bitcoin upside with the backstop of a resilient, liquid and pressure tested balance sheet.”

Chhugani says fears of forced balance-sheet liquidation were misplaced. Instead, “Strategy has further scaled its Bitcoin treasury,” raising $7.3 billion year-to-date in 2026 through common and preferred equity, even as Bitcoin fell 19% over the same period.

A key part of the firm’s capital strategy is STRC, Strategy’s preferred instrument. Bernstein notes that STRC “offers low volatility (below 2%) with high fixed coupon paid monthly,” adding that rising trading volumes reduce dilution pressure on Strategy’s equity.

Bernstein also emphasises Bitcoin’s performance during the Iran conflict, saying the token has outperformed gold by 25%, supported by “global cross-border portability and censorship resistance.”

The firm reiterates its Outperform rating on Strategy with a $450 price target.