Bitcoin is trading just above $26,200 after losing more than 1% of its value in the last 24 hours.
Market experts predict that Bitcoin could slip toward the $24k level as the bearish trend thickens.
Bitcoin Could Drop To $24k
The cryptocurrency market has been in a bearish mode since the start of the week. Bitcoin is currently struggling to maintain its position above the $26k level. At press time, BTC is trading at $26,221, down by more than 1% over the last 24 hours.
So far this week, Bitcoin has lost more than 4% of its value and is expected to record further losses in the near term. Since the start of the month, BTC has lost 10% of its value, thanks to renewed hawkish Fed bets, the recovery in the dollar index, and the ongoing debt ceiling talks.
Alternative asset management firm Valkyrie Investments predicts that Bitcoin could drop to the $24k level as Bitcoin's daily chart Ichimoku cloud, a momentum indicator, has flipped bearish.
Analysts at Valkyrie, led by Chief Investment Officer Steven McClurg, wrote that;
"This suggests an ongoing high-timeframe bullish trend with a decline in bullish momentum and the potential for near-term retrenchment. A price close within the cloud is suggestive of losing cloud support and triggers the possibility of traversing to the opposite [lower] edge of the cloud. In this case, an Edge-to-Edge trade would bring prices to around $24,000."
Bitcoin has failed to test the $30k psychological level in recent weeks, and it is expected to drop lower over the coming days and weeks.