Bitcoin (BTC) Price Breaking Beneath Important Support Level, $23,000 Approaching?

Bitcoin price is headed south as bulls fail to regain momentum. A drop below $26,000 opens the door to $23,000.

Bitcoin continues to show signs of weakness as BTC price nears $26,000. As of press time, bitcoin is trading down 3.5% at a price of $26,303 with a market cap of $511 billion.

Amidst the current downward spiral, bitcoin is breaking below key support levels indicating that a correction is far from over and more pain lies ahead. According to popular crypto analyst Ali Martinez, BTC price is likely to drop to $23,000. In his recent tweet, Martinez

The existing selling pressure on bitcoin increased in the past few hours as the US markets opened on a negative note. All top-three US indices are down 0.7% as of press time, as debate over raising the debt ceiling moves into a second day.

As talks between lawmakers continue, investors remain concerned about the potential outcome as the early June deadline approaches, and whether the US will default on its debt. This could potentially send shockwaves across the wider crypto market.

Additional Losses Possible in Bitcoin and Crypto?

Crypto analyst Michael Van de Poppe said that it would not be prudent to make any new forays into bitcoin at this point. Popper writes: “Moving south, since $27K was not flipped, meaning we’ll test lower and cross $26K wide, most likely. Acceleration at the moment, so a Waiting for a clear bullish divergence to pop up for entry”.

He added: “Total market capitalization for #crypto is holding in the areas of the 200-week MA and EMA. The moment of truth is coming. Break down, and there will be some additional losses”.