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The recovery was at various points attributed to governments providing relief for citizens who could not work in the form of stimulus checks. These were to enable individuals who could not afford it to be able to stay home and also have their basic needs met. Governments even went as far as announcing rent and mortgage freezes across the country. In a bid to keep everyone in a home. These checks were spent by most on food. Because in reality, the checks were meant for people whose incomes were not enough to see them through a lockdown. Others though who could afford it had either invested part or all of their stimulus checks. Some of these investments were in cryptocurrencies.Related Reading | American Rapper Tyga To Launch OnlyFans Crypto-Competitor
Stimulus checks were basically regarded by some as “free money.” Money that they would do with as they pleased. While some lamented the negative effects of printing that much money in such a short time, others saw this as an opportunity. This “free money” going into the market most likely played a part in the tremendous bull run that would then follow. A bull run that saw new all-time highs across the market. But this leads to the question; if a person had invested their $1,200 stimulus checks issued by the U.S. government back in April of 2020, how much would that investor have across various assets? This report will answer that questions, putting the numbers into perspective.What A $1,200 Crypto Investment Would Net Investors
To start out, we will look at bitcoin. If $1,200 was invested into bitcoin back in April 2020, in current August prices, that investment would be worth about $9,000. The price of BTC has risen over 600% since then.Related Reading | Puell Multiple: The Bitcoin Metric That Says BTC Miners Aren’t Ready To Sell
Next would be Ethereum. Putting a $1,200 stimulus check in Ethereum back in 2020, at this point, the investor would have over $22,500. This is an even higher price than BTC given that the price of ETH has outperformed the price of BTC for the past year. Other altcoins besides Ethereum have also done very well in the past year. These include DOGE, ADA, SOL, and HEX. $1,200 put in DOGE would be worth over $200,000 now. A $1,200 investment ADA would be worth over $90,000. SOL would presently be worth over $120,000. And last but not least, a $1,200 investment in HEX would be worth over $300,000 in 2021.
Crypto market has grown over 1,000% since April 2020 | Source:These numbers go to show the absolutely massive returns that the cryptocurrency market can bring. Although this is largely dependent on the investor’s ability to hold through every peak and trough until the assets get to this point.
Featured image from Freekpik, chart from TradingView.com