Bitcoin continues to trade below $26,500 despite strong fundamentals from the market.
The ongoing debt ceiling talks have seen investors take a more conservative approach to the market.
Bitcoin Stays Below $26,500
The cryptocurrency market has stagnated over the past few days, with Bitcoin currently underperforming. Bitcoin has lost more than 10% of its value so far this month and risks dropping below $26k in the coming days.
The poor performance comes despite the United States announcing unexpectedly strong unemployment and GDP data on Thursday. The US GDP grew by 1.3% during the first quarter of the year, surpassing the analysts’ forecast of 1.1% however, it is still below the 2.6% recorded in the last quarter of 2022.
Investors were still focused on the debt ceiling talks in the United States. Yesterday, Republican House lawmakers reported progress in their discussion with the White House. However, it remains unclear if an agreement would be reached in time to stop a government default.
Market experts still believe Bitcoin could test the $24k support in the medium term before it resumes its rally. At press time, Bitcoin is trading at $26,335, up by less than 1% in the last 24 hours.
Ether, the second-largest cryptocurrency by market cap, is also struggling to maintain its price above $1,800. ETH has added more than 1% to its value and is now trading at $1,804 per coin.