Popular crypto geek John McAfee recently tweeted cryptocurrencies and decentralized exchanges will gain as the US government pumps $2 trillion into the US economy. McAfee termed the injection of more $ Trillion into the US economy as an unprecedented devaluation of the USD.
The US makes a bold move to pay more than $2 trillion to Americans
The US House of Representatives recently approved a bill seeking to pay all American citizens and companies to ease keep the economy going during the COVID-19 pandemic. According to the Bill, all American Adults would be paid $2000 each while children are to be paid $1000. All American families will be paid $3,000 each. The bill further proposed that American companies employing up to 500 people will earn at least $10 million each.
Summing up the coming government spending, the US economy will have more than $2 trillion injections from the federal reserve. Financial experts say such an amount of money can affect the economy negatively by causing inflationary tensions. The US currently which is trending towards at an all-time high at the moment is expected to devalue.
The $2 trillion coronavirus relief bill was on Friday signed by US President Donald Trump giving powers to the Federal Reserve to unleash the money to the rightful beneficiaries. The Bill which was tagged as a stimulus package is believed to have received the largest support from lawmakers in the history of the US.
Cryptocurrency expected to Rally
Security analyst John McAfee of McAfee antivirus said the massive injection of money into the economy will benefit cryptocurrencies. He noted that privacy coins, stable coins, and decentralized exchanges will experience an influx of transactions and more investment would come into the way of cryptocurrency.
Bitcoin price recently shot up along with that of Gold and Stock futures as the Feds announced a quantitative easing package without an upper limit to support the economy amidst the COVID-19 pandemic. The price of Bitcoin almost immediately shot up from $5,860 to $6,628 with Gold also rising from $1,494 to $1,524 in a close time frame.
John McAfee also predicted that the Price of the cryptocurrency Monera will also go up. He was replying to a twitter post from a cryptocurrency enthusiast who asked for user sentiments about the price of Monero. In his reply, he said,
“ as the number one privacy coin it will go through the roof”. Meanwhile, another user replied following McAfee’s comment saying it’s only a matter of time when DAPs will overthrow monero as the number one privacy coin.
Cryptocurrencies are expected to Rally as first-time investors look for alternative investment platforms after losing trust in fundamental investment portfolios such as stocks and bonds. Some recent price predictions put the price of Bitcoin at $22,000 by the end of this year and high figures in the subsequent coming years.