Coinbase CEO has just confirmed that there has been a spike in deposits of USD worth $1,200. This suspiciously is the same exact amount that the government is giving to households under the stimulus package deal.
So after weeks of speculating that some Americans would use this ‘helicopterâ€™ money to buy crypto, is it happening?
Just a few days ago, the stimulus cheques went out to around 80 million households. This was the first bunch to get this free money. There is suspicion that now this money is going to buy crypto.
Data provided by Coinbase CEO Brian Armstrong shows a huge spike in deposits of exactly $1,200.
Use Their Money To Buy Crypto and Bring Them Down
This money is then being used to buy crypto. These Americans seem to be finally awoken.
Using money from a corrupt and broken system, these investors buy crypto and hedge against the system.
During a financial crash such as the one being witnessed now, the only way out is through hedging against traditional assets. Cryptocurrencies were created for this very reason.
Back when the stimulus package was announced, the market failed to rally despite a widespread belief in the market that this money would buy crypto.
Since this happened, the hype that the market would rally triggered by the stimulus died off. But now, there is reason to believe that demand is about to skyrocket.
This especially combined by the fact that in less than 22 days, there will be a reward halving that will see supply fall even further, fuel prices.
Crypto Market Price Update
At the time of writing this, the market is recording a marginal change downwards. Bitcoin is just below $7,100 and still looking set for a bounce upwards in case of a positive trigger.
Most coins remain underpriced from their all-time highs and their year high making current prices a perfect buy opportunity.