TL;DR Breakdown
- Joe Biden is planning to announce a new stimulus package.
- Crypto enthusiasts believe the new stimulus package would further boost Bitcoin.
Reports have emerged that the newly elected President of the United States of America, Joe Biden, is set to announce a new $1.5 trillion stimulus package. According to this report, Americans would be entitled to $1400 each.
The current administration had tried to secure a stimulus check of $2000, but this proposition did not fly due to the antagonism of the Senate Republicans.
However, with Democrats set to become the majority party in both the Senate and the House, the newly elected President would expect to face little opposition for his stimulus package.
Joe Biden has also promised to take the pandemic more seriously than President Trump did. This could mean more policies and regulations that would seek to jump-start the US economy being implemented.
In essence, this means that the US government would spend more trillions of US dollars on relief packages and as an economic stimulus package. It has been estimated that a quarter of all of the currently available dollars was minted in 2020.
With the incoming President set to share another $1.5 trillion when he resumes office, more US dollars would likely be minted.
Hans Nichols, a contributor at Axios, had said that Americans could get a $2,000 Covid relief payment, plus a tax and infrastructure package. He went on to add that the new President’s program is going to increase the capital gains and the marginal tax rate for Americans.
Crypto enthusiasts believe this would be a plus for Bitcoin
Ever since news emerged that the new President was planning his economic stimulus package, crypto enthusiasts have reiterated their belief that this would only boost Bitcoin adoption.
Ivan on Tech, a crypto enthusiast, tweeted that Joe Biden’s new package would move Bitcoin into new heights. He added that the stock markets would become further boosted by February.
Another crypto enthusiast, David Lark, shared Ivan’s view. According to him, Biden’s administration was going to push Bitcoin far into space.
