Polkadot (DOT) and Tron (TRX) holders are no different, as these altcoins have soared in the last 12 months. Next Monday will be the U.S. deadline for the 2020 tax year. Undoubtedly, there are many American traders who are expected to report huge gains from the 2020/2021 crypto sale.
Regulation is perhaps one of the most critical issues for cryptocurrencies. And taxation is definitely a big part of most government stances towards crypto investment. The situation in the USA is changing rapidly.
It should not be forgotten that the Biden administration has proposed to increase the budget of the Internal Revenue Administration by 80 billion dollars. The possibility of the IRS to aggressively expand its reach to the cryptocurrency market seems high.
Uptrend prevails for Polkadot (DOT)
As you can see from the weekly chart below, Polkadot is in the bullish zone. As long as the price stays above $ 35.80, a long-term rise seems quite possible.
Key levels to watch at DOT this week:
Resistance (1): Triple peak - $ 46.70 and $ 48.33
Support (1): Weekly SMA, $ 35.80
Tron (TRX) stands firm in bullish position
We see a few notable items on the TRX / USD chart below. First, it is worth noting two increases above $ 0.17. This is an important historical resistance area and an area to watch for Tron next week.
The following are the most important levels in this market.
Resistance (1): Double peak, 0.17 - $ 0.18
Support (1): Psychological Disability, $ 0.10
About seven days remain before the tax deadline. It could be an interesting week for cryptocurrencies. Crypto shines will likely suffer if any pressure from the IRS and Biden administration takes place. For now, however, a bullish trend for Polkadot and Tron remains appropriate.