Cryptocurrency prices dropped 6.11% on Thursday, with the global markets falling to $797.45 Billion from the previous day. Total volume for the crypto market rose 38.50%, reaching $47.36 Billion in the last 24 hours.
DeFi volume stood at $2.67 trillion, representing 5.63% of total crypto market volume for the day. Stablecoin volume was at $43.54 Billion, which is 91.92% of the 24-hour crypto market volume.
Japanese Gov’t Cuts Crypto Taxes by 30%: Is This a Good Move?
The Japanese Liberal Democratic Party (LDP) has set out to address the harm done to the country’s economy by its increasingly complex crypto tax regulations. This includes a flat 30 percent corporate tax rate on crypto assets – regardless of whether the company made a profit in 2018 or not.
The LDP made administrative reform a top priority, and is working closely with the United States on defense and international policies. This term can refer to a variety of reforms, such as taxation, designed to withstand economic stress and stand the test of time.
The fiscal committee of the ruling party (LDP) met on December 15 to discuss ways to increase economic growth. Among the items discussed was a proposal to eliminate taxes from paper profits on token issuance and custody by crypto companies.
The Japanese government is hoping to reduce the tax burden on local companies by encouraging development in the IT and finance sectors.
The new, more lenient legislation on crypto taxes is set to be introduced to parliament in January and implemented in April of 2019.
Bitcoin Price Prediction
On Friday, Bitcoin’s daily trading volume was $26 billion, with a daily average of $16,742. The BTC/USD pair has dropped nearly 4% since yesterday and was supported at $17.250. This was further aided by the 50-day moving mean.
Negative pressure caused a bearish cross under $17,200 and sent the BTC/USD pair plummeting towards $16,570. Technical indicators such as the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) currently point to a bearish trend. They have now entered the oversold area, which could lead to a slight correction in bullishness.
Doji Candles above the $16,550 level suggest that a bullish correction of $17,000 or higher to $17.250 may occur. A bearish break below $16,555 could, however, trigger a further selling trend to $16,200, or $16