Bitcoin Plunge Due To Increase in Capital Gain Tax

Bitcoin at important support line of 50,000 as President Biden is expected to raise long-term capital gains tax for the wealthiest Americans to 43.4%, including a surtax. That would be higher than the top federal tax rate on wage income. The new tax rate would apply to returns on assets held in taxable accounts and sold after more than a year.

If the 50,000 level failed to hold, then we may see 45,000 and then 40,000.

I do expect a strong bulls and bears fight at 50,000 level as it is important for both.  The winner will accelerate the up or down direction.  

Rule number 1: Always put a stop loss before entry, always, no exception. You do not drive a car if it does not have brakes. Have a stop loss first, then think about entry, end of conversation.

Rule number 2:: No Rule number 2, strictly master Rule Number 1 and you are likely to succeed in Technical Trading.