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A Big Negative Factor for Bitcoin

Posted by Jeffrey Sloe on April 26, 2021 - 12:24am
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Biden’s Presidency May Become A Big Negative Factor for Bitcoin

JOHN P. NJUI   •   BITCOIN (BTC) NEWS •   APRIL 25, 2021

  • Peter Brandt highlights the possibility of the Biden administration becoming a big negative factor for Bitcoin
  • He cites the recent plans to increase capital gains tax
  • Some institutions and individuals in some US states might end up paying as much as 55% in taxes if the plan is implemented
  • Bitcoin has had 11 straight days of lower highs, with more selling anticipated

Veteran futures and forex trader, Peter Brandt, has pointed out that the Biden administration might become a big negative factor for Bitcoin.

According to Mr. Brandt, the proposal by the Biden Presidency to increase capital gains tax might result in the continuous selling of Bitcoin before the new rates kick in. His analysis of the whole situation can be found below.

Going forward. the Biden presidency may become a big negative factor for Bitcoin. Large $BTCsupply will come to market to get in front of capital gains taxes which will exceed 55% in some U.S. states.

Bitcoin Undergoes 11 Straight Days of Selling

In a follow-up to his initial analysis, Mr. Brandt has identified that Bitcoin has experienced eleven straight days of selling in the crypto markets. He shared his analysis through the following tweet, where he compares the current Bitcoin environment to past periods of similar BTC decline in 2018 and 2019.

Bitcoin Has 3 More Hurdles in April

From the tweet, it can be observed that Mr. Brandt hints at the possibility of Bitcoin undergoing a few more days of selling to meet the average of 19 days. To be precise, Bitcoin has seven more rough days ahead.

In addition, a 35% decline from the recent all-time high of $64,854, translates to Bitcoin potentially printing a bottom at the $42k support area.

The latter price target does not seem impossible given that Bitcoin has the following 3 hurdles left in the month of April.

  1. Today’s weekly close with $50k and $47k acting as resistance and support respectively
  2. The monthly close on Friday, April 30th
  3. The expiration of Bitcoin options and futures contracts on the same Friday, April 30th

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Original article posted on the EthereumWorldNews.com site, by John P. Njui.

Article re-posted on Markethive by Jeffrey Sloe

Jeffrey Sloe It's sad, but I agree with you Simon and Bill. Thanks for reading and commenting Corneliu, Simon and Bill.
April 26, 2021 at 11:17pm
Bill Rippel Just another tax grab for the government. Sad for Bitcoin and other Crypto Currencies.
April 26, 2021 at 2:02pm
Simon Keighley Sounds like a hike in capital gains tax will be a negative factor for Bitcoin, Jeffrey - thanks for the update.
April 26, 2021 at 7:39am
Corneliu Boghian Thanks so much for this informative
April 26, 2021 at 4:14am
Corneliu Boghian Thanks so much for this informative
April 26, 2021 at 4:14am
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