Is the US Stimulus check going to raise the price for bitcoin?

[gentlemand]

I was thinking they would actually think about spending their money on grocery and bills and stuff like that just so they could potentially survive a bit long however looking at the situation right now, people are buying stuff like TV's or other electronic stuff, and maybe even phones and so forth, which tells me maybe people weren't doing as bad as I imagined and obviously not as bad as government imagined.

That's why so many people are broke their whole lives. They keep buying tat they don't need and wonder why they never get ahead. Many will have thought 'hey, free money. Let's splurge.' I've known many people who were incapable of looking beyond their next shot of instant gratification and they would've done the exact same thing given the opportunity.

Unfortunately this time around buying crap might come back and bite them hard in a few weeks when it becomes clear the world is not going straight back to normal and whatever jobs they had to keep their heads just above water is no longer there.

I'd only put the stimulus into BTC if I was fully secure via other channels and knew I'd be fine for months or years no matter what.

[exstasie]

I was thinking they would actually think about spending their money on grocery and bills and stuff like that just so they could potentially survive a bit long however looking at the situation right now, people are buying stuff like TV's or other electronic stuff, and maybe even phones and so forth, which tells me maybe people weren't doing as bad as I imagined and obviously not as bad as government imagined.

That's why so many people are broke their whole lives. They keep buying tat they don't need and wonder why they never get ahead. Many will have thought 'hey, free money. Let's splurge.'

Shortsighted or not, that's actually the point of direct stimulus payments: they want recipients to quickly inject cash into the economy, to prevent deflation and keep businesses afloat. That was the motivation behind expanding payments to Social Security and disability recipients, because low/fixed income people are most likely to immediately spend it rather than stick it in the bank.

While headlines are hyping up the non-essential purchases, surveys show most people are spending the check on day-to-day expenses or saving it. 25% are buying food and groceries, 31% are saving it, 18% are paying bills, 11% are using it towards mortgage and rent. https://www.businessinsider.com/americans-are-spending-their-stimulus-checks-on-food-video-games-2020-4

[STT]

Indirectly its certain to help BTC by diluting the worth of Dollar in ratio to Bitcoin.  Directly only a small amount goes and stays with BTC I think .



Theres a clear trend ongoing since the bottom, I wasnt sure if it had faltered at all but theres more sense in presuming it will continue until a much harder reset then any blip since mid March.   

Good till end May probably, if it closed below 7000 on weekly bar that'd be new.

[adaseb]

In Canada they don't have this type of stimulus, they got some government programs to help however you can only apply to them if you lost your job due to covid19. The stimulus cheques in USA were sent to pretty much everyone correct? Whether you lost your job or not. I think the only requirement was that you filed your 2018 or 2019 taxes.

This doesn't make sense because they would of been better off just sending it to the people that need it. The people who lost their jobs and need money. For the ones who are still working and spending their stimulus on big screen TVs doesn't make sense. In the long run it hurts the economy more due to massive inflation.

[pooya87]

Indirectly its certain to help BTC by diluting the worth of Dollar in ratio to Bitcoin.  Directly only a small amount goes and stays with BTC I think .

if that's the cause then there is a lot more reasons that would contribute to devaluation of Dollar since they are now injecting a ton of it into the stock market and trying so hard to keep it from an enormous crash. that's not to mention the money they print for bailouts and more to come.

[exstasie]

In Canada they don't have this type of stimulus, they got some government programs to help however you can only apply to them if you lost your job due to covid19.

The Canadian stimulus payments (2,000 CAD per month for 4 months) are a lot more expansive than unemployment benefits. Anyone who is affected by the corona virus gets them. Not just layoffs but anyone who got sick, is in quarantine or self-isolation, taking care of someone who is sick, parents who need to stay home with their children because of closures, etc. Easy to game although yes, technically not as expansive as the US stimulus checks.

The stimulus cheques in USA were sent to pretty much everyone correct? Whether you lost your job or not. I think the only requirement was that you filed your 2018 or 2019 taxes.

That was only a requirement to get in the earliest round of direct deposits. I think anyone who has a Social Security number and is not an adult dependent is eligible but it may take a while to receive the money.

This doesn't make sense because they would of been better off just sending it to the people that need it. The people who lost their jobs and need money. For the ones who are still working and spending their stimulus on big screen TVs doesn't make sense. In the long run it hurts the economy more due to massive inflation.

The direct stimulus payments are not just for relief. It's to get everyone to spend money to prop the economy up. Plus I think there is a general acknowledgment that setting up some bureaucratic relief program would delay payments for many more weeks.

[Dart18]

I never really thought it would be like this. It's an unexpected event.

Bitcoin price going high even with the pandemic happening.
I saved my USDT to buy later on but I didn't catch the right train.
The stimulus check could have really made an effect to it.
But I will still be waiting for the price to come back to buy more bitcoin. I just hope I won't be late again.

[FanEagle]

Maybe it did? I mean while we are discussing if it will or if it will not, the price actually went up and right now it is actually higher than before. So, I assume maybe it played a role? We can't know it of course, there is absolutely no way to know a data to see where the 1200 dollars went to and how much bitcoin has been bought with it, we can only speculate and not know the difference, however we can at least assume that some people might have.

Maybe there could be some data, not an inclusive one but we could ask coinbase to say if there has been an increase in the past month for 1200 dollars or so range depositing to peoples account, if there is a huge increase we could say that would be the reason, however there is no way coinbase would share that number.

[Jating]

Maybe it did? I mean while we are discussing if it will or if it will not, the price actually went up and right now it is actually higher than before. So, I assume maybe it played a role? We can't know it of course, there is absolutely no way to know a data to see where the 1200 dollars went to and how much bitcoin has been bought with it, we can only speculate and not know the difference, however we can at least assume that some people might have.

Maybe, because right after the news about the US stimulus package, the price slowly shots up, reaching as high as $9400-$9500. They FOMO right before the halving, so it is possible that those who have received it pour it in pushing the price.

Maybe there could be some data, not an inclusive one but we could ask coinbase to say if there has been an increase in the past month for 1200 dollars or so range depositing to peoples account, if there is a huge increase we could say that would be the reason, however there is no way coinbase would share that number.

This is the closest that we can get as far as Coinbase goes: Data Suggests Some Americans May Be Buying Crypto With Stimulus Check.

[figmentofmyass]

Maybe, because right after the news about the US stimulus package, the price slowly shots up, reaching as high as $9400-$9500. They FOMO right before the halving, so it is possible that those who have received it pour it in pushing the price.

it's also possible the stimulus checks were coincidental with the price increase, and that the price would have gone up anyway.

there have been plenty of surveys taken about what people are spending those checks on. bitcoin hasn't shown up on the radar at all, so while it technically may have had an effect, i assume the effect was tiny.

the technical resistance at $7.5k breaking and the buildup to the halving were probably much more significant.

This is the closest that we can get as far as Coinbase goes: Data Suggests Some Americans May Be Buying Crypto With Stimulus Check.

that's a really misleading graph. how many people make $1200 deposits to coinbase that a 0.25% increase for one day is really meaningful? the reason brian armstrong didn't come out and give us absolute numbers is because the numbers are extremely small.

[bbc.reporter]

Many people need the money desperately, many however have kept their jobs, and will get a double boost of cash from tax returns + Stimulus check.

I think this will have a positive effect on the bitcoin price. Thoughts?

Sorry if this has been discussed before.

The bitcoin news media has everyone confused and celebrating on this unsustainable money printing labeled as a stimulus package. Satoshi Nakamoto created bitcoin with only 21 million coins and a fixed issuance schedule that no one can manipulate for this reason.

Is this the type of stories they want us to hype instead of criticize?



Bitcoin May Get Massive Boost as Democrats Propose $3 Trillion in Extra Stimulus

On Tuesday, the House Democrats revealed a proposal to send stimulus checks worth up to $6,000 per family to help the economy grapple with the COVID-19 outbreak, which has unemployed more than 30 million Americans due to lockdown restrictions.

This new stimulus proposal is part of a $3 trillion relief package being proposed by the Democrats.

All this stimulus, investors say, is boosting the intrinsic value of Bitcoin and other decentralized cryptocurrencies.

Source https://www.newsbtc.com/2020/05/14/bitcoin-gets-massive-boost-democrats-propose-3-trillion-extra-stimulus/