The average American taxpayer was eligible for three rounds of stimulus payments from the United States government to help boost the economy and increase consumers spending. Many saw this as an opportunity to invest Bitcoin (BTC)
Cointelegraphs Aug. 26 report shows that 11% (or more) of respondents aged 18-34 reinvest some of their stimulus checks in cryptocurrencies. The net profit for adult Americans who reinvested the first round of stimulus payments in Bitcoin from April 2020 to $5,304 has been approximately 442%.
Between December 2020 and January 2021, the second stimulus check was $600. This occurred just two months after Bitcoin reached an all-time high at $65,000. The second check, which was worth approximately $312 if reinvested in Bitcoin would yield a profit of 152% if it were to be reinvested.
The average payout for the third stimulant check was $1,400. It was made available to eligible taxpayers starting in March 2021. Bitcoin has experienced a bear market for three months, but it recovered to reach $65,000 in trading value. Despite fluctuations, the modest profit of 7% or $98 from reinvesting the third Bitcoin stimulus check at the time would be enough to cover the cost of the investment.
According to the above findings, a prompt reinvestment in Bitcoin of $3,200 worth stimulus checks would result in a profit of $4,514 or nearly 71% by Octobers end. Harris Poll conducted a survey on behalf Yahoo Finance and found that most Americans are interested in cryptocurrency investments. They cited Bitcoin (ETH) as their primary interest.
PlanB, a crypto analyst, predicts that Bitcoin will rise for the third consecutive month.
Aug>47k Sep>43k Next targets: Oct>63k, Nov>98k, Dec>135k pic.twitter.com/C45nfQkQSC
October 1, 2021 — PlanB (@100trillionUSD).
PlanB predicts that Bitcoin will surpass $98,000 by November. The stimulus check investments will continue to make 58% profit if the prediction is true.
Related: El Salvador buys a smokin hot 420 more Bitcoin
El Salvador declared Bitcoin legal tender on September 07th and has since reinvested its U.S. dollars reserves to acquire Bitcoin.
President Nayib Bukele announced that 420 bitcoin had been added to the national reserve on October 28. This brings the total value of the national reserve up to 1,120 BTC. It is worth $87.4 Million.
It was worth the wait. We have just purchased the dip! We just bought the #Bitcoin!
— Nayib Bukele (@nayibbukele) October 27, 2021
Bukele says that once a country has made a profit from Bitcoin investments, the equivalent amount of its dollar reserves can be reinvested to fund various initiatives. The total value of El Salvador’s national reserves is therefore maintained at its current value in dollars.