As of the Nether Update, a player can no longer sleep in a waterlogged bed, not even with Conduit Power or Water Breathing. This caused all players to have to use beds on land or in large air pockets. Allowing all players to sleep in waterlogged beds with Conduit Power or Water Breathing will be a great quality of life change, as it will improve focus on underwater bases.
Referenced from this bug ticket MCPE-87848, where it ended up getting the resolution "Works as Intended".
The issue of players not being able to use waterlogged beds anymore is probably caused by the fixing of bugs MCPE-42881 and MCPE-46064.
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