President Donald Trump announced that he will pay at least 2,000 USD/person for most Americans, except for those with high incomes. This money will come from tariff revenue, the stock market, and crypto, which is reacting positively in the short term due to expectations of large cash flow being pumped into consumption.

In the past, under Joe Biden, the largest stimulus package was the American Rescue Plan Act of 2021 worth 1.9 trillion USD, which included a direct payment of 1,400 USD/person for many households. This policy helped bolster consumer confidence and lifted indices like the S&P 500 and Nasdaq Composite to record highs.

However, direct money pumping also contributed to a significant rise in inflation and forced the Federal Reserve (FED) to raise interest rates aggressively during the 2022–2023 period. Therefore, while this information may bring short-term optimism, the market still needs to be cautious about the risk of re-inflation and the possibility that the FED will have to intervene again if the stimulus is too strong. $BTC

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