Bitcoin Rejected at $109K as Stoch RSI Flags Bearish Shift

• Stochastic RSI death cross suggests weakening momentum for Bitcoin price.
• Senator Lummis pushes to end crypto double taxation on rewards.

Bitcoin is showing signs of weakness after failing to break a key resistance level near $109,000. Chart analysis by Ali Martinez reveals that Bitcoin was rejected at a descending trendline near $109,000, signaling strong resistance at that level. 

The daily chart shows a reversal after testing this mark, with the price pulling back toward short-term support around $107,000. 

At the time of writing, Bitcoin trades at $107,450.40, down 0.09% in the past 24 hours.

A key concern for traders is the bearish crossover on the Stochastic RSI, which historically has preceded downward price action. This “death cross” on the momentum oscillator aligns with the recent rejection and weakening Relative Strength Index (RSI). 

Unless Bitcoin can close firmly above $109,000, analysts suggest the probability of a retracement toward the $100,000 support zone remains high. Resistance is currently observed near $108,500.

Senator Lummis Calls for Crypto Tax Reform

U.S. Senator Cynthia Lummis is pushing for changes in how crypto mining and staking are taxed. She stated that current policies lead to double taxation once individuals receive block rewards and again when those rewards are sold. Lummis argued that this structure is outdated and harms U.S. competitiveness in the digital asset space.

Her remarks come amid growing interest in regulatory clarity for cryptocurrencies. Lummis emphasized the need to support innovation while ensuring fair treatment for miners and stakers. 

She stated that reforming tax laws could help the U.S. become a leader in blockchain and Bitcoin development. Crypto industry stakeholders, who say the current system discourages growth, have been well-received by the call for tax reform.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.