Bitcoin analyst Doctor Profit says the bear market has ended after Bitcoin's latest breakout above major resistance levels, and he has mapped the levels that could shape its next move: $71,000 as key support, $78,500 as the next major resistance, and $82,000 as the destination if that resistance gives way.

In an Aug. 20 update, Doctor Profit identified $71,000 as strong support and $78,500 as the next major resistance, adding that he expects a move toward $82,000 if Bitcoin breaks above $78,500 with strength.

Bitcoin Holds Between Two Key Levels

Doctor Profit said Bitcoin could retest $71,000, although he is not positioning around that possibility. He considers $71,000 the lowest meaningful area Bitcoin could revisit before moving higher, while describing prices between $71,000 and $78,500 as less important to his strategy.

He also pointed to Bitcoin's reaction around $60,000 as evidence of strong buying interest, noting that large buyers entered when fear pushed prices lower.

The analyst rejected concerns about Bitcoin's current RSI readings, saying weekly and monthly RSI remain in neutral regions. The Relative Strength Index is a momentum gauge that scores the size of recent price moves on a 0–100 scale, with readings above 70 conventionally read as overbought and below 30 as oversold. He considers the daily RSI more useful for short-term price movements.

Short Covering Drives the Recent Move

According to Doctor Profit, much of Bitcoin's latest rally was driven by short covering, as forced buyers helped push BTC through major resistance levels. Short covering occurs when traders who sold borrowed coins buy them back to close out their positions, and that buying can add upward pressure to price. Bears became buyers as their positions were closed out, he argued.

He compared the move with Bitcoin's 2023 advance from roughly $16,000 to $25,000. After that run, Bitcoin fell about 22% toward $19,000 once RSI reached extreme levels, before climbing from around $19,000 to $30,000. Doctor Profit cited that episode when discussing the market's repeated shifts between fear, corrections and renewed buying.

Doctor Profit Favors ETH Over Bitcoin

Doctor Profit favors Ethereum over Bitcoin, maintaining a 60% ETH and 40% BTC allocation across his crypto portfolio. His current holdings include Ethereum, the second-largest cryptocurrency by market value, along with Circle, the issuer of the USDC stablecoin, which listed on the New York Stock Exchange in June 2025, and Coinbase, the largest US-based crypto exchange — a group he describes as his "Galactic Three."

According to his figures, BTC has gained 26% from his entries, while ETH has gained 33%. CRCL rose 50%, and COIN increased 15%.

He also highlighted tokenization, stablecoins, on-chain settlement and institutional adoption — themes that have moved toward the regulatory and institutional mainstream in 2025, a year in which the United States enacted federal stablecoin legislation and traditional asset managers expanded tokenized products. For Bitcoin, his map remains unchanged: $71,000 support, $78,500 resistance and $82,000 as the next level.