Bitcoin Consolidates Below $30,000 as Market Books Profits
Bitcoin (BTC) consolidated below $30,000 on Monday as the cryptocurrency market booked profits after last week's rally.
The world's largest cryptocurrency by market capitalization traded at $29,700 at press time, down 0.5% over the past 24 hours. Ethereum (ETH) was also down 0.5% to $1,530.
Other major cryptocurrencies were also in the red, with XRP down 3% to $0.57 and Solana down 2% to $43.
The sell-off comes after Bitcoin and other cryptocurrencies surged last week. BTC briefly broke above $32,000 on Friday, its highest level since June 14.
Analysts say the recent rally was driven by a number of factors, including the prospect of a slowdown in the pace of US interest rate hikes.
However, some analysts warn that the market is still overbought and that a correction could be on the cards.
Stablecoin Market Share Shrinking While Most Cryptocurrencies Surge
The market share of stablecoins is shrinking as most cryptocurrencies surge.
According to data from CoinMarketCap, stablecoins accounted for just over 56% of the total cryptocurrency market capitalization on Monday, down from over 60% a month ago.
The decline in stablecoin market share is being driven by the surge in prices of other cryptocurrencies, such as Bitcoin and Ethereum.
Bitcoin is up over 30% in the past month, while Ethereum is up over 50%.
The surge in prices of other cryptocurrencies is making them more attractive to investors, who are looking for assets that can offer higher returns.
US Couple Accused of Laundering Crypto from Bitfinex Hack Reach Plea Deal
A US couple has reached a plea deal in connection with the laundering of over $4.5 billion worth of cryptocurrency stolen from the Bitfinex exchange in 2016.
Ilya Lichtenstein and Heather Morgan, who were arrested in February, have agreed to plead guilty to one count of conspiracy to commit money laundering and one count of conspiracy to defraud the United States.
As part of the plea deal, Lichtenstein and Morgan will forfeit over $3.6 billion worth of cryptocurrency, including Bitcoin, Ethereum, and Tether.
They will also be sentenced to a maximum of 20 years in prison.
Investors Close in on Acquiring CoinDesk for $125 Million: Report
A group of investors is close to acquiring CoinDesk, the leading cryptocurrency news and information website, for $125 million, according to a report by The Information.
The investors include Digital Currency Group, the parent company of Grayscale Investments, and 10T Holdings, a venture capital firm that invests in blockchain and cryptocurrency companies.
The deal is expected to close in the coming weeks.
Crypto Tax: What Investors Need to Know
The taxation of cryptocurrency is a complex and evolving area. In the United States, cryptocurrency is generally treated as property for tax purposes. This means that investors must pay capital gains taxes on any profits they realize when they sell their cryptocurrency.
The tax rate on capital gains depends on the investor's income and the holding period of the cryptocurrency. For example, short-term capital gains are taxed at the investor's ordinary income tax rate, while long-term capital gains are taxed at a lower rate.
Investors should consult with a tax advisor to determine how their cryptocurrency transactions will be taxed.
These are just a few of the top cryptocurrency news stories from today. For more information, please visit the following websites:
- CoinMarketCap: https://coinmarketcap.com/
- CryptoCompare: https://www.cryptocompare.com/
- CoinDesk: https://www.coindesk.com/
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