BTC Bears to Target Sub-$26,000 on Hawkish Fed Chatter
This morning, BTC found early support. However, while investors wait for developments on the SEC v. Ripple case, Fed rumor and US economic statistics will play a role.

Bitcoin (BTC) increased by 0.55% on Sunday. BTC lost 0.10% on Saturday but recovered to lose 5.43% for the week to conclude at $26,937. BTC made a big difference by snapping an eight-day losing run, the biggest losing streak since June 2022.
BTC hit a low of $26,603 in the first hour due to a negative start to the day. BTC gained support at the First Major Support Level (S1) around $26,645, rising to a high of $27,205 in the middle of the afternoon. BTC surpassed the First Major Support level (S1) at $27,003 and tested the Second Major Resistance level (R2) at $27,216 before reversing course and closing the day at $26,937.
US Debt Ceiling Uncertainties Ease Before a Busy Week
The Sunday session was unassuming. The only US economic indicators that may have affected Bitcoin's price were stories about the US debt limit and the cryptocurrency news wires.
US Vice President Joe Biden reportedly said both parties are motivated in reaching a settlement over the weekend, which brought some solace. Riskier assets would suffer as a result of a US government payment failure.
Tuesday's meeting between President Biden and decision-makers will advance negotiations, putting BTC in a limbo.
Conversations on Capitol Hill for the next day and regulatory activities will continue to be key topics. Updates on the SEC v. Ripple lawsuit and news concerning Binance and Coinbase (COIN) must also be watched, however. The outcome of the SEC v. Ripple case in court would have a significant impact on BTC price movement.
The US economic calendar will also give guidance outside of the cryptocurrency market.
Today in the afternoon, attention will be on the May NY Empire State Manufacturing Index figures. Analysts predict a decline from 10.8 to -2.5. A return of the Index to the red would exacerbate recessionary fears and have a negative impact on BTC as well as the larger crypto market.
Investors should pay attention to FOMC member remarks even though the statistics will generate interest. Today's speakers will include Kashkari, Bostic, and Barkin from the FOMC. Hawkish talk would be negative as markets look for hints about the Fed's next move.
In June, there was a 14.4% chance—down from 15.5% on Friday—of a 25-basis point interest rate increase, according to the CME FedWatch Tool.
It will be necessary to keep an eye on the US financial industry and the debt cap.
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