Bitcoin Price Prediction as BTC’s Market Cap Reaches $1.3 Trillion – Can it Overtake Gold?
As Bitcoin price hovers around $66,400, witnessing a minor dip of 0.50%, market participants are keenly observing its next moves. Amidst fluctuating market conditions, a pivotal aspect to consider is the potential impact of a proposed 30% excise tax on U.S. Bitcoin mining, which could reshape the industry landscape.
This backdrop sets the stage for a nuanced Bitcoin price prediction, where technical levels and emerging fiscal policies could intertwine to influence the cryptocurrency’s trajectory significantly.
President Biden’s proposal, aiming to impose a 30% excise tax on electricity used by Bitcoin miners, could severely impact the U.S. Bitcoin mining sector. This tax, reintroduced in the fiscal 2025 budget, is expected to raise $3.5 billion over ten years.
Critics like Senator Cynthia Lummis argue it could push miners out of the U.S., hampering growth. Notably, this move contradicts Biden’s commitments to promoting sustainable energy, as it might shift mining activities to countries with laxer environmental standards.
[COINTELEGRAPH] Biden is asking Congress to kill the American #Bitcoin mining industry
— BecauseBitcoin.com (@BecauseBitcoin) April 22, 2024
Benchmark, an investment banking firm, recently began covering Hut 8, awarding a “buy” rating and setting a target price of $12. This valuation reflects Hut 8’s strategic shift towards self-mining, which could make it more competitive post-Bitcoin halving.
Hut 8 ‘self-mining plans’ make it competitive post-halving: Benchmark https://t.co/5fzcLNvDLJ
— Trade Alerts, Trade Ideas and Crypto
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