India has decided to legalize cryptocurrencies

In 2021, the cryptocurrency market fell more than 15% when India released a statement banning cryptocurrencies. Today, in 2022, India has backtracked from its previous statement. The country has decided to tax crypto assets and put a 30% crypto income tax.

Not only have they embraced cryptocurrencies, but India has also decided to digitize the rupee and introduce a new digital currency starting April 1, 2022. This news has certainly had a positive effect on the cryptocurrency market which has currently seen an increase of more than 5% on an aggregate level.



Why the crash when cryptocurrencies were banned was higher than the positive news when cryptocurrencies were adopted? Well, the cryptocurrency market is still considered to be in a bearish trend. Buyers are still worried and undecided whether to enter the market or wait for further adjustments. Once the buying volume increases, the market will in turn move higher.