The mainstream adoption of cryptocurrencies like Bitcoin has made them one of the most preferred investment assets by many. The reason behind this is not farfetched from the fact that Bitcoin, the most successful cryptocurrency in the Blockchain space, remains the most valuable. The digital asset has had its good and bad days, but it had stood twice as tall above them. However, a new survey by Mizuho Securities, a famous investment firm in Japan, predicts that $45 billion of the $1.9 trillion stimulus package approved for Americans by Joe Biden will likely be invested in Bitcoin.
60% of investors choose Bitcoin
The news of Joe Biden approving another $1.9 trillion stimulus package for Eligible citizens was met with immense applause when it was first announced. The harsh impact of the COVID-19 pandemic on the economy and lives of citizens had forced the President to look towards welfare. The country’s high inflation rate did not help matters, as the U.S dollars had continued to fall in value as days go by.
However, while the funds would be tailored to helping citizens go through the hard times, the survey by Mizuho discovered that many citizens would likely be buying Bitcoins with their relief package. In the details of the survey carried out by the U.S branch of the Japanese investment magnates, about 2 out of 5 individuals interviewed confirmed they would be investing their relief package, with many confirming they would be looking towards buying Bitcoins.
While a few of them confirmed they would likely be investing their money on Stocks, 60% of the individuals who will likely be investing their stimulus chose Bitcoin. The research also detailed that a cumulative total of $70 billion of the gross relief funds will go to investments.
Good news for Bitcoin and crypto market
If $40 billion is currently invested into the cryptocurrency space in the report by the investment firm, the space market cap will cross the $2 trillion market at current standings. Bitcoin will also be one of the biggest beneficiaries of the predicted investment. The cryptocurrency will likely receive a 4% boost in its market capitalization if you consider the figures at the time of writing. However, the first set of the stimulus packages, which is being given to households with less than $150,000 annual income, was processed last week, and the next few weeks will see the other sets being sent.
Surprisingly, many analysts are still awaiting Joe Biden’s plans to develop the country’s crypto space. The new President is yet to discuss or propose any new bill towards the country’s booming space. However, many are hoping that Gary Gensler, Biden’s handpicked man for the Chair of the U.S SEC, if approved by the senate, will utilize his Blockchain exposure and experience to develop the cryptocurrency market in the country.