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QCP Capital: Trump's proposal to eliminate capital gains tax on US companies issuing coins sparks frenzy in the counterfeit coin market

QCP Capital: Trump's proposal to eliminate capital gains tax on US companies issuing coins sparks frenzy in the counterfeit coin market

Bitget2024/12/04 13:25

Bitget, a Singaporean cryptocurrency investment firm QCP Capital announced today that the old cryptocurrencies that have existed since 2021 have staged a spectacular rebound in the past two weeks. XRP broke its 2021 high of $2 and has seen an astonishing increase since November, reaching 400%, with a peak price of $2.90. Other old cryptocurrencies such as ADA, HBAR and XLM also achieved increases of 300%, 800% and 600% respectively. The frenzy in the altcoin market is due to Trump's announcement in November of a proposal aimed at eliminating capital gains tax on cryptocurrencies issued by US companies. In addition, expectations for a crypto-friendly U.S cabinet further fueled this trend. Rumor has it that Gary Gensler, who has always been troublesome for the cryptocurrency community will be replaced by Paul Atkins to lead the Securities Exchange Commission (SEC). Other candidates also seem to be friendly towards cryptocurrencies. Howard Lutnick is currently CEO of Cantor Fitzgerald and is about to become Secretary of Commerce. Cantor Fitzgerald is currently negotiating with Tether which makes Lutnick appear like a supporter of cryptocurrency.

Yesterday, South Korea's martial law decree did little to quell market enthusiasm. After news of martial law was released, Korean traders reduced their positions causing Bitcoin fell to low point at $93,500 but subsequent repurchase behavior among major cryptos and altcoins only showed how strong market buying intentions are.

We indeed see some macro risks recently; concerns about inflation rising again led markets to reduce expectations for US interest rate cuts in 2025 down to just three times.Trump's geopolitical risks brought about Mexico Canada BRICS countries also exist.Despite these risks we believe there are still prospects for higher levels in crypto markets.Trump’s team may likely formulate policies friendly towards cryptos thereby attracting more institutional investors.Bitcoin breaking through $100k mark seems possible while Ethereum setting new historical highs looks more like an imminent reality rather than a dream.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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