The popular cryptocurrency continues to rise after volatile trading earlier in the week. Bitcoin, Dogecoin, and Ethereum grew by about 3.1%, 3.8%, and 6%, respectively.
On Monday, the cryptocurrency fell when House Democrats announced new tax proposals that could mean higher taxes for high-frequency crypto traders. According to forecasts by the SEC chairman on Tuesday, broad components of the crypto market may soon face increasing regulatory control. However, the fact is that Bitcoin, Dogecoin, and Ethereum will continue to grow.
Speaking at the Senate session, Gensler noted that cryptocurrency, stable coins, and loan services in the jurisdiction could be brought under the regulatory body. House Democrats aim to introduce new tax rules that will provide a basis for increasing tax liabilities for short-term cryptocurrencies. Recent tax and regulatory developments are still risk factors. Therefore, crypto investors can be exempt from this as most significant changes have a limit.
Due to the current situation, there is a high chance that cryptocurrency in the U.S. will be subject to tax classification and regulations. However, at this point, the details of the potential changes are less clear.
Despite the news, updates from U.S. and SEC lawmakers do not appear to have radically changed the crypto landscape. However, investing in Bitcoin, Dogecoin and Ethereum will be much more profitable for investors.
Additional information about the new regulations and restrictions at this stage is vague, and investors may even seem confused. The fact is that the values of the most popular digital currencies, according to today’s data, are growing.
We wonder how popular cryptocurrencies will keep up with the growth rate. It’s a mystery how big the news announced during the current week will have on price volatility.
However, the fact is that despite everything, Bitcoin and digital cryptocurrencies are becoming more and more attractive among investors.