Well, with that loss, Washington is now just 1.5 games back from us. What's more, it's not a "true" 1.5 games back either. We're tied in the loss column, but they've simply played 3 fewer games than us, meaning they're 3 wins back. So they're a very real danger to surpass us in the standings, though of course they have a pretty difficult schedule to do that with.
But ultimately, we'll more than likely have to win our game at home against Washington in order to keep the second see. Not only would that help us record-wise, it'd also more than likely give us the tiebreaker if we end up with a tied record. Here's the playoff tiebreaker procedures:
(-) Tie breaker not needed (better overall winning percentage)
(1) Division leader wins tie from team not leading a division
(2) Head-to-head won-lost percentage
(3) Division won-lost percentage
(4) Conference won-lost percentage
(5) W-L Percentage vs. Playoff teams, own conference
(6) W-L Percentage vs. Playoff teams, other conference
(7) Net Points, all games
So since we'd be both be divisional leaders and tied in the head-to-head matchup, it'd go to division won-lost percentage. Luckily, we have some pretty bad teams in our division, and so far we've gone 8-4 against our division, while still having 4 games against the three worst teams in our division in the Nets (2), 76ers (1), and Knicks (1). Washington, on the other hand, is currently 6-5 in their division, and they still have 5 games left against Charlotte (2), Atlanta (1), and Miami (2), all of which will be difficult games for them given they're all in the playoff hunt.
If somehow we end up tied in the divisional record, then it goes to the conference record next, which we also have an edge on them with. We're currently at 26-12 compared to their 25-16, which is a significant lead with the schedule we have the rest of the way.
Thus, as long as we win against the Wizards at home in a couple of weeks, we'll more than likely own the tiebreaker against them, so that game is going to be extremely important for the race for the number 2 seed.