Crypto Industry News:
The Russian Federal Tax Service (FTS) is actively monitoring the cryptocurrency market to prevent tax evasion, said FTS chief Daniil Yegorov.
Cryptocurrencies have the potential to "significantly erode" the Russian tax base, Yegorov argued in an interview with local media on Monday.
However, cryptocurrency transactions are still traceable and should be reported, the official said, adding that the FTS is ready to implement automated tracking systems to process large amounts of data.
"When you enter the digital space, you still leave a mark. It is only a matter of time before this trace is identified" - Yegorov declared.
The official also noted that the FTS is now devising ways to respond to crypto tax evasion practices as authorities seek to limit such activity rather than just identify it.
The news comes shortly after the Bank of Russia proposed last week to introduce criminal liability for "illicit trade in digital financial assets" as part of the country's financial market targets for 2022 and 2023-2024. As part of the proposal, the central bank wants to establish a cryptocurrency taxation procedure.
The Russian State Duma approved the Cryptocurrency Taxation Act at first reading in February 2021, requiring residents to report crypto transactions totaling more than $ 7,800 per year. In order to proceed to the second reading, the legislator decided in mid-October to appoint a competent committee, ie the State Duma Committee on Budget and Taxes.
Technical Market Outlook
The BTC/USD pair is testing the bottom of the wave 3 again, which is located at the level of $55,758. The new, marginal lower low was made at the level of $55,333 during the test, but the whole H4 candle looks like a Pin Bar anyway. The momentum remains weak and negative despite the potential low of the wave 3/C, so any violation of the level of $55,785 would extend the correction towards the level of $55,747 or below. Only a sustained breakout above the level of $62,767 would change the outlook to more bullish.
Weekly Pivot Points:
WR3 - $75,582
WR2 - $70,896
WR1 - $64,654
Weekly Pivot - $60,209
WS1 - $54,112
WS2 - $49,298
WS3 - $43,190
Trading Outlook:
According to the long-term charts the bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. This scenario is valid as long as the level of $52,943 is clearly broken on the daily time frame chart (daily candle close below $52,000).