SEC Faces Off Against Consensys 👀

Welcome back to the daily Coinsauce Newsletter, your go-to source for the latest crypto updates 🗞️.

📈 Markets

• Overall bias - Negative

• Bitcoin got rejected off its crucial $67,200 resistance yesterday and today, it got rejected off it’s intraday resistance at $65,200 & failed to even reclaim that level.

• Sell side liquidity is sitting at the resistance level too.

• BTC needs to break this resistance quickly or risks re-visiting the range lows at ~60,000.

• This resistance is also in confluence with the 4h Super-trend Resistance (3 ATR) with a bearish fisher crossover.

• The ETF’s had a net outflow of over $300 million over the past 2 days.

• All these are bearish signs, and the invalidation point would be a break and close above $65,200 & $67,200 to turn mid term bullish.

📅 Today

Consensys plays the Reverse UNO card ◀️ 

In response to a Wells Notice from the U.S. SEC two weeks ago, Consensys, the company behind MetaMask, is suing back the SEC, challenging what it sees as an overreach of authority regarding Ethereum

They're seeking a court declaration that ETH is not a security and that the MetaMask wallet is just an interface and not a brokerage service, as it doesn't hold users' assets or conduct transactions.

With SEC going after Binance, Uniswap & now MetaMask in the recent months, the war is on!

Stripe eyes for a crypto comeback 🙏 

After a six year hiatus, Stripe has yet again announced plans to reintroduce crypto payments, starting initially only for USDC on the Solana, Ethereum and Polygon.

Stripe first entered the crypto space & the Bitcoin ecosystem in 2014 but withdrew in 2018, citing Bitcoin's instability and slow transactions.

Now, with a valuation of $65 billion and over $1 trillion in transactions processed in 2023, it seems that they're making a comeback with vengeance.

Better late than never! 2nd time is always a charm 😉 

📊 Stats

Educational 📔 

Decoding the impact of Biden’s 44% tax on capital gains 👇️ 

The government has issued its 2025 revenue proposal and is formally requesting 44.6% capital gains tax, the highest in over 100 years.

The measure is income-tested, applying to those earning over $1 million, and aims to increase tax revenue from high-income earners.

For reference, China's capital gains tax rate is 20%.

This proposal means that the combined federal + state capital gains tax would well exceed 50% in many states, including the below:

• California: 59%

• New Jersey: 55.3%

• Oregon: 54.5%

• Minnesota: 54.4%

• New York: 53.4%

Is it smart to punish America's high earners?

The numbers suggest otherwise.

The U.S. national debt is rising by $1 trillion about every 100 days now & is on an unsustainable fiscal path.

There are 737 billionaires in the US, with a combined wealth of $5.529 trillion in the entire country. Even with a 100% wealth tax, that would only pay for about 18 months of deficit spending. Think about that.

This proposed capital gains tax is nothing in the scheme of things - it's a tiny droplet in a bottomless ocean of debt. If such a measure is objectively pointless.

Credits : Andrew Axelord 

Trade of the day 📈 

BNB/USDT Short trade - Looking weak & getting rejected off $620. Multiple bearish confluences for the same.

• Horizontal resistance at $620

• 4H & 1H bearish order-blocks at same price

• BTC looking weak too.

• 6 bearish divergences on 4H.

• Macro multi year resistance level at $620.

• Bearish Order Book Imbalance

Note : None of this is to be taken as Financial Advise. The chart is for educational purpose only.

🤣 Meme of the day

That concludes our update for today!

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