Bitcoin (BTC) is struggling to maintain the key support level of $110,000 U.S. and continues to slide lower.
The largest cryptocurrency by market capitalization is currently trading at $107,500 U.S., having fallen more than 3% in the past 24 hours.
BTC has tested $110,000 U.S. on several occasions over the past two weeks only to fail and end up sliding lower, raising concerns among analysts.
Bitcoin had dropped as low as $103,000 U.S. over the past week, leading some analysts to forecast that the digital asset’s price would fall below $100,000 U.S.
While Bitcoin has managed to climb higher it can’t seem to hold at $110,000 U.S. or get above that key threshold.
Analysts say BTC and other cryptocurrencies are struggling as investors grow increasingly nervous about risk assets.
The government shutdown in Washington, D.C., a lack of economic data out of the U.S., and high stock valuations have many investors turning defensive.
Bitcoin’s struggles come after the cryptocurrency hit a record high above $126,000 U.S. to start October.
The ongoing weakness runs counter to the narrative of October being the strongest month of the year for cryptocurrencies, leading many people to call it “Uptober.”
Many analysts say that the current weakness in Bitcoin and other cryptocurrencies such as Ethereum (ETH) is likely to persist given the macroeconomic uncertainty in the U.S.
BTC is currently up 15% on the year.
