Bitcoin sinks below $50,000 as cryptos stumble over Biden tax plans

TOKYO - Bitcoin and other cryptocurrencies suffered hefty losses on Friday on fears that U.S. President Joe Biden's plan to raise capital gains taxes will curb investment in digital assets.

The selloff came after reports that the Biden administration was planning a raft of proposed changes to the U.S. tax code, including a plan to nearly double taxes on capital gains to 39.6% for people earning more than $1 million. Bitcoin, the biggest and most popular cryptocurrency , slumped 7% to $48,176, falling below the $50,000 mark for the first time since early-March, while smaller rivals Ether and XRP fell around 10%.