Cryptocurrency Bitcoin collapsed nearly 8% to fall below the $50,000 mark as fears of a spike in capital gains tax spooked Bitcoin holders.
US President is likely to propose doubling capital gains tax to nearly 40% from the current rate of 20% reported Bloomberg. US investors in Bitcoin, which has advanced more than 70% this year already face a capital gains tax if they sell the cryptocurrency after holding it for more than a year.
The cryptocurrency is down over 20% this week marking it's biggest weekly fall since March 2020.