Americans who Bought Bitcoin with Stimulus Checks Are Riding a Profit of $4,500 October 31, 2021 October 31, 2021 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Bitcoin NewsOctober 31, 2021 by Kelly Cromley

Americans who Bought Bitcoin with Stimulus Checks Are Riding a Profit of $4,500

The United States government sent three rounds of stimulus cheques to the typical American taxpayer as a method of reviving the economy by raising the spending capacity of consumers. Many saw this as a chance to make a profit by investing in Bitcoin (BTC).

Notably, 11% of the responders between the ages of 18 and 34, in particular, put some or all of their stimulus cheques into cryptocurrency. Adult Americans who re-invested the first wave of stimulus payments from April 2020 into Bitcoin have generated a net return of around 442 percent, converting a $1,200 investment into $5,304 as of Oct. 31, 2021, according to the Bitcoin Foundation.

In the period between December 2020 and January 2021, a second stimulus check of $600 was delivered, barely two months before Bitcoin reached an all-time high of $65,000 for the first time in history. Investment of money received through the second check into Bitcoin would result in a profit of around $312, or 152% of the original investment.

According to the Treasury Department, the average payment for the third stimulus check was $1,400, and it was accessible to qualified taxpayers starting in March 2021. Since then, Bitcoin has experienced a three-month bear market before completing a complete rebound to reach a trading value of more than $65,000 for the first time in history.

Reinvesting the third stimulus check in Bitcoin would result in a tiny 7 percent profit, or $98 at the time of writing, notwithstanding market swings. As a result of the research shown above, an early reinvestment of $3,200 worth of stimulus cheques into Bitcoin would result in a total profit of $4,514 (almost 71% of original investment) by the end of October.

According to a survey done by Harris Poll on behalf of Yahoo Finance, the majority of Americans who were ready to invest in cryptocurrencies expressed a strong preference for Bitcoin and Ether as their main investments (ETH). For the third month in a row, crypto expert PlanB’s forecast for Bitcoin has come true.

According to PlanB, the value of Bitcoin is expected to surpass $98,000 by the end of the month of November. According to the forecast, the stimulus check investments would generate an additional 58 percent profit from today’s market pricing.

El Salvador officially recognized Bitcoin as legal cash on September 7th, and the country has since begun reinvesting its U.S. dollar reserves in the purchase of Bitcoin.

On October 28, President Nayib Bukele announced the addition of 420 Bitcoin to the national reserve, raising the total amount of Bitcoin in the reserve to 1,120 BTC, which is worth $87.4 million. The country’s Bitcoin investment generates a return, and an equal amount from its dollar reserves is re-invested to support a variety of activities, according to Bukele. As a consequence, the entire value of El Salvador’s national reserves remains constant in terms of the US dollar at its original level of holding.

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.