Is Bitcoin back below $50,000 because of the rumored capital-gains tax hikes that could be coming?
Maybe. I'm sure it didn't help. But it's already been in correction from its highs of roughly $63,000. Plus, TikTok is full of people happy to tell you how to avoid paying those taxes on your crypto sales--you apparently just claim that you "lost your password." Uh-huh. At this rate, I'd say crypto investors have more to fear from regulators than from tax hikes.
Plus, stocks are back up today. The Dow is up around 150 points as of this writing. No one thinks capital gains have a huge effect on market returns in the long run. But they shouldn't think it won't affect the economy writ large. Capital gains cover a lot more than just stock sales; businesses, and land sales, too. Some economists say once you go over 28% on capital gains taxes, it starts to hurt the government's revenue income more than help it because of the negative economic effects.
Much more on taxes, crypto, and the YOLO job market coming up later today.
See you at 1 p.m!