Americans who received their second coronavirus boost on December 29 have already gained 12% – if they get it in Bitcoin (BTC).
As the United States government rolls out another round of “free” money to eligible residents, it looks at how many people choose to invest their $ 600 in cryptocurrencies.
Incentive recipients in April now have $ 5,600
The handouts started last week and are expected to be completed on January 15th. According to a special monitoring source, those who received the money on day one and who immediately exchanged their US dollars for BTC have already risen around $ 75.
Bitcoin and Ether (ETH), the largest altcoin by market capitalization, have virtually surpassed all competition in the first week of 2021 when it comes to return on investment.
As mainstream media floods with stories of how stimulus recipients plan to invest in stocks and consumer goods, with the aim of “boosting the economy.” bought Bitcoin with the previous cash gift in April 2020 are now at $ 5,600.
At the time, the stimulus check was worth $ 1,200 – twice the amount of the second round – meaning Bitcoin has returned 370% if you “hod” so far.
The numbers underscore the curious way the average taxpayer can take advantage of the bizarre financial environment that characterizes 2020 and 2021. By simply buying and holding Bitcoin, anyone can surpass even the most seasoned stock trader.
“Maybe we should send the stimulus money in Bitcoin. The $ 600 will turn into $ 2,000 in a week anyway, ”fund manager Austin Rief summarized in an ironic tweet over the weekend.
Monthly chart shows Bitcoin is not ready for $ 32,000
While its 233% gains have yet to come out in a week, many are already confident in Bitcoin’s prospects to match or even beat last year’s performance in 2021.
The year after the block subsidy has been cut in half has historically been the cryptocurrency’s best, and by that logic, a correction will not occur until 2022.
Data has been added to this show Long-term behavior after a price stop in each four-year halving cycle. With $ 20,000 as the previous high, history suggests that BTC / USD will not fall below that level again.
Additionally, the difference between Bitcoin’s two peaks between 2017 and 2020 was 1,600%. Between the peaks of 2013 and 2017, it reached 3,500%. Since May 2020, Bitcoin is up a relatively modest 75%.