Crypto trader «Satoshi Flipper» believes that US President Donald Trump‘s proposed $2000 cash payments have triggered the current crypto market surge. All Americans, with the exception of high-income individuals, should receive this amount.
However, this plan has not yet been confirmed by legislation, congressional approval, or Treasury Department guidance.
Satoshi Flipper recalled that in 2020, American adults received $1200, while children received $500. Retail investors invested some of this money in cryptocurrency markets.
Then the exchanges Coinbase and Binance reported an increase in the number of orders to buy Bitcoin in the amount of exactly $1200, which confirms the thesis about direct investment in crypto assets.
As a result, in just six weeks Bitcoin rose in price from approximately $6800 to $10,000. By November 2021, it peaked at around $69,000.
Efirium followed a similar path, rising from $120 to $4800, while the total capitalization of the cryptocurrency market increased from $180 billion to over $3 trillion.
A new round of direct payments could provide the crypto market with additional liquidityHowever, it’s important to note that current economic conditions differ from those of 2020. In particular, credit card debt is rising, and employment indicators are deteriorating.