Bitcoin has fallen below $50,000, 23% off recent highs. 9 analysts break down why, and what happens next.

Bitcoin has fallen below $50,000, 23% off recent highs. 9 analysts break down why, and what happens next.

Bitcoin has tumbled around 23% from the recent all-time high of more than $64,000, touched 9 days ago, to trade below $50,000 on Friday.

Analysts said a number of factors appear to have caused the sharp fall, including Joe Biden's reported tax hike proposals and natural caution after a rapid rally.

They also said it is crucial that bitcoin find some support soon, or it could slide even further. However, many were confident that investors would be tempted to "buy the dip."

Here's what 9 experts said about bitcoin on Friday.

Joe Biden's tax-hike plans spooked bitcoin investors

"The plunge came after Biden unveiled a raft of proposed tax reforms yesterday - including a plan to nearly double capital gains tax to 39.6% for people earners above a $1 million threshold. 

"There is also likely some interplay with the broader stagnation across equities, which could be driving down risk-on assets," Matt Blom, global head of sales trading at exchange Diginex, said.

"It is clear that bitcoin is more sensitive to capital gains tax threats than most asset classes. The threat of regulation, either directly in developed markets, or indirectly via the taxman, has always been crypto's Achilles's heel, in my opinion," Jeffrey Halley, senior market analyst at