Jan 3, 01:30 PM

IRS Grants Crypto Tax Relief; Bitcoin Reclaims $97K Amid $330M ETF Outflows and $900M Inflows

On January 2, the IRS announced a temporary relief on crypto tax reporting rules amid ongoing legal challenges. This development coincided with a notable outflow from Bitcoin ETFs, which saw $330 million withdrawn that day, contributing to a total of $900 million in inflows over the following days, marking the largest inflow in weeks. Bitcoin's price has fluctuated, recently reclaiming $97,000 despite selling pressure from older investors. Meanwhile, BlackRock's Bitcoin ETF experienced significant outflows, and Tron’s T3 Unit froze $100 million in USDT. The market also anticipates potential approval of Solana ETFs by the SEC in 2025, as Polymarket odds suggest a favorable outlook for these products. Overall, Bitcoin's market dominance has decreased to 57.58%.