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Bitcoin's Value Plummets as Biden Mulls Nearly Doubled Capital Gains Tax

bitcoin

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Bitcoin is falling back to earth. This morning, the cryptocurrency's price was nearly 25% lower than the all-time high set a few weeks ago, and reports that U.S. President Joe Biden plans to nearly double the capital gains tax might be partly responsible.

The cryptocurrency's value peaked at nearly $65,000 per coin on April 13 as the Coinbase trading platform prepared to go public. Its per-coin price fell as low as $47,467 this morning, according to Coindesk, before starting to rebound.

It's possible that Bitcoin's value would have fallen even without the Bloomberg report Thursday afternoon on President Biden's planned increase to the capital gains tax. The crypto market is fickle, and not even Bitcoin's price can be expected to rise forever.

Other cryptocurrencies have also declined in value today. Coindesk's data puts Ethereum's price down 10.5% in the last 24 hours, and it's fared better than other coins, some of which have seen their prices fall by as much as 24% at time of writing.

Even the beloved Dogecoin, returns for which rose 6,000% year-over-year just last week, has seen its per-coin price fall by roughly 20%. But at least Dogecoin is a meme rather than the cornerstone of an entire industry.

Does this mean the crypto boom is over? Probably not. The market isn't known for its stability, and efforts to capitalize on it will continue, despite these falling prices. And, of course, we doubt it'll be easier to find the best graphics cards today than it was yesterday.

But at least enthusiasts who missed out on the Bitcoin craze will be able to watch the cryptocurrency's price fall for a while instead of climbing up, up, up like it was before. 

  • Phaaze88
    Really? A few words from a someone? Coincidence, or is the market that fickle?
    Can he actually execute though?

    What about some of these large companies that get away with paying no tax and still get returns? Those need to get busted big time.
    That may be more productive than trying to tax the wealthy double.


    Bitcoin's still profitable and going back up...
    Reply
  • LordVile
    Phaaze88 said:
    Really? A few words from a someone? Coincidence, or is the market that fickle?
    Can he actually execute though?

    What about some of these large companies that get away with paying no tax and still get returns? Those need to get busted big time.
    That may be more productive than trying to tax the wealthy double.


    Bitcoin's still profitable and going back up...
    He can literally sign anything he wants into law and it can’t be undone unless a judge finds it unconstitutional
    Reply
  • Phaaze88
    LordVile said:
    He can literally sign anything he wants into law and it can’t be undone unless a judge finds it unconstitutional
    Uhh, doesn't that have to go through Congress and the House first?
    Reply
  • hotaru.hino
    Phaaze88 said:
    Uhh, doesn't that have to go through Congress and the House first?
    Executive orders.
    Reply
  • Phaaze88
    Well, fudge...
    I still think it'd be more productive to target companies getting big tax breaks... who may then find a way to trickle it down to consumers...
    /sigh
    There's just no making everyone happy.
    Reply
  • Kahless01
    LordVile said:
    He can literally sign anything he wants into law and it can’t be undone unless a judge finds it unconstitutional
    you have no damn idea how the government works. executive orders dont have the power to change tax rates either. so both of you can take a hike and listen next time you take high school government class. only congress has the power to change tax rates. and with manchin there is no guarantee democrats can just pass whatever they want even with the majority.
    Reply
  • hotaru.hino
    Kahless01 said:
    so both of you can take a hike and listen next time you take high school government class.
    It would be nice if they actually taught that in the first place.
    Reply
  • daworstplaya
    Kahless01 said:
    you have no damn idea how the government works. executive orders dont have the power to change tax rates either. so both of you can take a hike and listen next time you take high school government class. only congress has the power to change tax rates. and with manchin there is no guarantee democrats can just pass whatever they want even with the majority.

    ^This!
    It would be better if the US Congress just straight up banned Crypto currency like India did.
    Reply
  • Heat_Fan89
    daworstplaya said:
    ^This!
    It would be better if the US Congress just straight up banned Crypto currency like India did.
    Oh, that's coming. First they came for your internet tax and then they came after your crypto. Whenever someone or a group of people are making serious money, you can bet on it that it eventually gets the governments full attention. The reason the US Govt has allowed crypto's to go crazy is because they have watched and learned. Get ready for a world where cash will be banned and replaced with digital currencies. I'm sure the government must be saying, thanks cryptos for teaching us how to do it.
    Reply
  • hasten
    This article is silly. So the announcement of a potential capital gains tax increase is the reason for a correction that's been going on for days prior? Sound logic. Everyone is moving their money to where? It would effect all investment gains and all markets not just btc and crypto. Stick to computers.

    BTW this correction isn't a shock, was predicted, and isn't the first. Heck it happened in Feb. And what in the world are they teaching kids? The discussion on governance and executive orders was nothing but misinformed babbling. I guess that's what happens when you have 5 consecutive years of lies and fear mongering with young people getting all their information off their feeds.
    Reply