Crypto Writer
Arslan Butt
Crypto Writer
Arslan Butt
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Bitcoin (BTC) is holding just above $114,000 as investors digest a new U.S. crypto report that could dramatically ease tax pressure on miners. The White House’s latest 168-page policy proposal recommends taxing mining rewards only when sold, not when received, mirroring how gold is treated.
Under current rules, miners pay taxes the moment they earn Bitcoin, even if they don’t convert it to cash. Therefore, they often have to face a mismatch between tax liability and actual real income.
So, by deferring taxes until the BTC is sold, the suggested change could improve miners’ profitability and make mining more attractive to long-term investors.
BitFuFu, now a top global mining firm, says this shift would lower entry barriers, especially as U.S. energy costs remain relatively low despite rising tariffs on imported mining equipment.
The proposal also floats the idea of creating a strategic U.S. Bitcoin reserve, managed via the Treasury, using confiscated digital assets. While short on specifics, it shows a growing governmental recognition of BTC’s long-term relevancy.
Key takeaways:
- Mining income may soon be taxed at sale, not when mined
- Proposal could end double taxation for miners
- Strategic Bitcoin reserve floated by the U.S. Treasury
ETF Outflows & Economic Data Pressure BTC
Despite long-term optimism, Bitcoin remains under near-term pressure. Spot BTC ETFs in the U.S. recorded $196 million in outflows on Tuesday, marking four straight sessions of investor exits. Since late July, over $500 million has left major funds, signaling waning institutional demand.
This capital flight coincides with weak economic data. July’s ISM Services PMI dropped to 50.1, barely above contraction, while nonfarm payrolls also missed expectations. Coupled with geopolitical risk—Trump’s renewed tariff plans on tech imports—the environment has turned risk-off, prompting a retreat from volatile assets like Bitcoin.
Yet regulatory clarity may help shift sentiment. Japan’s SBI Holdings recently filed for a Bitcoin and XRP ETF. If approved, this would mark Asia’s first crypto ETF to include both assets and could open the door to increased retail and institutional adoption.
Meanwhile, in the U.S., the SEC ruled that liquid staking doesn’t constitute a securities offering, removing a legal cloud over Ethereum-based staking protocols.
SEC Chair Paul Atkins also launched “Project Crypto,” aimed at crafting a more supportive framework for digital assets under the Trump administration.
Bitcoin Technicals: Bulls Defend $112K, Eyes on $115K
Technically, Bitcoin is trading around $114,240, perched just above the 50-period EMA on the 2-hour chart. After bouncing off support at $112,641, bulls have carved out a higher low, hinting at accumulation. However, the price remains squeezed beneath a descending trendline originating from the July 31 peak.
Momentum is neutral, with RSI around 51. For bulls, the key battleground is $115,043. A bullish breakout just above this mark can trigger an upside price action toward $116,915 and $118,878, where prior selling pressure exists. However, a failure to violate this resistance mark may see BTC revisit $112,640, or even test deeper supports at $110,7820 and $109,075.
Trade setup to watch:
- Buy above $115,043 with a target at $116,915
- Stop-loss below $113,800 to protect against trendline failure
- Look for bullish engulfing candles or RSI >60 as confirmation
Bitcoin Hyper Presale Over $7.3M as Price Rise Nears
Bitcoin Hyper ($HYPER), the first BTC-native Layer 2 powered by the Solana Virtual Machine (SVM), has raised over $7.3 million in its public presale, with $7,310,393 out of a $7,502,850 target. The token is priced at $0.01255, with the next price tier expected to be announced soon.
Designed to merge Bitcoin’s security with Solana’s speed, Bitcoin Hyper enables fast, low-cost smart contracts, dApps, and meme coin creation, all with seamless BTC bridging. The project is audited by Consult and engineered for scalability, trust, and simplicity.
The golden cross of meme appeal and real utility has made Bitcoin Hyper a Layer 2 contender to watch in 2025. With staking, a streamlined presale, and a full rollout expected by Q1, $HYPER is gaining serious traction.
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