Topic: Peter Brandt believes that Biden may do a lot of damage to bitcoin - page 3. (Read 494 times)

I'm sure the damage wouldn't be that bad. The scenario last bi run is different now. Many institutions are joining the bitcoin herd. But this unexpected announcement by Biden surely get scared some of the investors that's why the market for Bitcoin is on sideways. I'm sure this is temporary and bitcoin will bounce back again as it on the trend of bullish sentiment.

I'm still bullish of that bitcoin will be able to reach 100k this year and more.

I believe that whatever the damage that this new tax proposal from Joe Biden administration will cause to bitcoin will be short lived. This new taxing proposal shouldn't come as a surprise to anyone because Biden's plan to tax the rich was already made public and known even during his campaign. Joe Biden has a difficult and significant task to manage the countries economy, especially at a time like this (Pandemic), some difficult decisions will have to be made to keep the country going. As far as the new tax proposal doesn't take more out from the poor and middle income earners, I believe the rich are rich enough to adjust to the proposed change. It is all panic selling and liquidation at the moment, afterwards, any major crypto positive news will sky rocket the price back of bitcoin up to an even higher ATH.

If you think about it, the damage will only be short term and these super rich with large capital gains on their bitcoin will be forced into action. This sort of news is released early to 1) get a feel for the administration of whether it is a socially acceptable policy (the majority of people do not care if the super rich with lots of assets are forced to pay more) and 2) as a sort of advanced warning to the financial industry that it is likely going to happen. As we already know, they have two options facing them right now: convert their bitcoin back into USD temporarily and swallow the current tax rate of 20%, then buy it back almost instantly. If they have made a substantial profit and want to avoid paying more in future, they will be doing this right now. Alternatively they can gamble that the law does not change (unlikely) and risk paying the much higher rate in future. That being said, for the true super rich that are sitting on a huge tax liability, they probably have enough money that they will never need to sell and they simply have it as another place to store their endless cash. They can probably wait it out until another Republican government gets in power and drops it again.

First, the authorities are going to ask about the addresses of your lost coins, and they will start monitoring them for a chance that they wake up.

Second, you can't openly spend those coins, since you're commiting tax evasion, you'd had to launder those money, and good luck laundering them when you're being scrutinized for claiming that you lost your assets. It's just like committing insurance fraud - sounds easy in theory and very risky on practice.

This apply not only for bitcoin but also stocks, gold, silver and other materials, bonds. Everything. The question is. What is better? 39% of profit or guarantee loss holding your money and letting it to be devalued?

And now when we agreed that it affect all assets. Bitcoin is the only one out of them that you can simply withdraw to wallet and said "I forgot password". Or move it to new address and say "It was wrong address, I don't know who is in charge of it now"

And now knowing that bonds market = 120T, stock market = 70T (taxed 39-50%) and bitcoin = 1T (taxed 0% because you can say you lost it) tell me... Is this news bearish or bullish for bitcoin?

Michael Saylor - owner of $4,5b worth BTC:
"At the end of the day, if you push me to far, i lost it, its gone, i'm sorry ... TAX THAT"

https://twitter.com/btc_archive/status/1385324038034182154?s=21

The market does not must repeat its history but if history will be repeated, Bitcoin will have to go through months of corrections. Like in 2017, the conflict of consensus for Segwit made the market falls into a very chaotic period. You all know, after all conflicts, months after the Segwit activation and almost 40% of correction, Bitcoin rose four-fold and touched its 2017 all time high.

• The bull run after the halving in May 2020: has risen too fast and much faster than the 2016 - 2017 bull run.
• What Bitcoin has reached so far in this bull run is out of my expectation and many of others too.
• If history repeats itself 100%, in April 2021, Bitcoin should be somewhere around the 2017 ATH ($20,000) not at $64,000 or $48,000.
• Two main factors that cause the rapid growth of Bitcoin: damaged value of fiats because of the pandemic and QEs; and the massive noisy participations of institutes

Based on some models and history, I think Bitcoin is in the middle of its 2020 - 2021 parabolic curve. When correction finishes (might be next 2 or 3 months), the second part of this curve will be touched.

Technically, price will be stucked or bounced around the upper, lower and middle line of a price channel. Assumes Bitcoin is in its middle of the curve, it is normal for the pull back around this middle area.

Legendary trader Peter Brandt, an old trader, told the community via Twitter that President Joe Biden could have many negative consequences for the cryptocurrency, bitcoin.
Brandt warns that Biden could do a lot of damage to bitcoin.
He published a link to the Wall Street Journal on Biden's proposal to raise capital gains taxes to 39 percent, and as Brent points out, in some states the figure could even rise to 55 percent.
At present, the capital gains tax is a maximum of 20 percent, while the highest rate for wages or business profits is 37 percent.
If Biden's proposal is approved, high-income families will see the end of their investment planning, and business owners will transfer less wealth to their children.
“If Mr. Biden and the Democrats are successful, the resulting changes would upend investment planning for high-income households and make it more difficult for business owners to pass assets to their children.”
As previously reported by U.Today on April 22, the news of Biden's capital gains tax led to a drop in the price of Bitcoin from $ 55,000 to about $ 48,000.
Cryptocurrencies, such as Ethereum, Ripple, etc., followed this pattern.



Brandt says bitcoin is still bullish.
Peter Brandt also wrote on Twitter that despite this news, he will still see the bullish(and libertarian) bitcoin, and this tweet does not show the bearish market in bitcoin.
Bitcoin remains one of Peter Brandt 's greatest assets.



Source: https://u.today/peter-brandt-believes-bitcoin-may-suffer-a-lot-from-biden-presidency-heres-why