Bitcoin declined to the $49,500 support level. Ethereum is trading near the $2,260 mark, and the price of XRP has fallen to $1.05. The total capitalization of the digital asset market has fallen to $1.8 trillion.
The cryptocurrency market fell on Friday as US President Joe Biden's proposed capital gains tax hike triggered a wave of sell-offs. Bitcoin fell below 50,000 for the first time since early March, and the cryptocurrency market lost more than $200 billion in a day. According to Coinmarketcap, the largest cryptocurrency for the day fell by almost 10%. President Biden is expected to raise the tax on long-term capital gains for wealthy Americans to 43.4%, including an additional tax. And this is higher than the maximum federal tax rate on labor income. The new tax rate will apply to income from assets held in taxable accounts and sold more than a year later.
According to the recommendations of the internal working group, the Norwegian bank will test various technical solutions for the national digital currency over the next two years. According to the working group, the motivation for the study of the state stablecoin has increased, many Central Banks are doing appropriate work, and some have already moved on to technical tests. Payment technologies are developing rapidly, and the use of cash is declining. The researchers rated the share of cash payments in Norway as one of the lowest in the world. The Central Bank recalled that it has been investigating the state digital currency for four years. The transition to technical testing will be a new stage in the ongoing work, the goal of which is to find the preferred solution if the introduction of digital currency becomes relevant.
Trading signals for Bitcoin, ETH and XRP
In the forecast, Bitcoin is expected to decline further to the levels of 49300, 49000 and 48500 dollars. Ethereum will decline to the levels of 2240, 2220 and 2200 dollars, and XRP - to the price values of 1, 0.98 and 0.95 US Dollars.