"As long as Netanyahu continues to build in Jerusalem he has the national coalition's support, as well as that of Habayit Hayehudi. Construction in Jerusalem has the support of the majority of the public and the Zionist parties in the Knesset.
"Even the slightest concession in construction in Jerusalem on Netanyahu's part and at US demand means major damage to the city's status as the capital of the State of Israel and the Jewish people," Orlev told Ynet. "Should Netanyahu grant the demand he will have a serious coalition problem."
The US Embassy in Tel Aviv issued a formal announcement Tuesday informing that US special envoy to the Middle East George Mitchell has decided not to visit the region.
According to the New York Times, US President Barack Obama was shocked to hear of Israel's announcement to continue building and is the one behind the tough American response.
On Monday, Netanyahu stated that construction in Jerusalem will continue as it has in the past 42 years, Shortly after US Secretary of State Hillary Clinton stressed that she is waiting for an official Israeli response regarding construction in east Jerusalem.