Hope Kuan da President unifies by distributing money!
If the $5,000 is really rolled out, the crypto market could see a liquidity cycle similar to 2021—but this time it might also be the last wild celebration before a crisis.
On October 4, Andrei Grachev, co-founder of DWF Labs, said that if Trump wins the midterm election and pushes for $5,000 to be distributed to every adult, the size of the stimulus could reach 1.5 times the “helicopter money” scale during the pandemic. At that time, some of the funds are highly likely to flow into stocks and the crypto market. BTC may be the first to benefit, followed by rotation into ETH, SOL, and other high-beta assets.
But don’t assume the $5,000 is a guaranteed positive. This is still a conditional policy promise. Whether it can be implemented, where the money will come from, and whether congressional approval is required are all uncertain.
If it is carried out, the transmission logic is clear:
Fiscal stimulus → higher household cash → risk appetite rebounds → funds flow into BTC and crypto assets → the market enters a liquidity-driven trading phase.
However, we also can’t ignore another path:
Increased fiscal spending → rising deficit and inflation expectations → higher U.S. Treasury yields → a stronger U.S. dollar → limited room for Fed rate cuts → pressure on risk assets.
So this is not a straightforward positive for BTC. The key is whether the market is trading “increased liquidity,” or “inflation and interest-rate pressure.”
My view is that if the policy moves into the formal legislative or implementation stage, the market may front-run liquidity expectations, and there’s a real chance the rally could play out like a 2021-style bull market. But if U.S. Treasury yields and the dollar rise in tandem, risk assets could rise first and then fall.
Also, once the rally is truly realized, you can’t just keep adding to your position. Large-scale stimulus often pushes asset prices to extremes, and after the boom there may come even bigger inflation, debt, and financial risks.
So what really matters isn’t the $5,000 figure, but whether the policy can be implemented, whether the funds actually enter the market, and whether U.S. Treasury yields will spiral out of control.
Do you think this will be the starting point for a new big bull market—or the last wild celebration before a crisis arrives?
If the $5,000 is really rolled out, the crypto market could see a liquidity cycle similar to 2021—but this time it might also be the last wild celebration before a crisis.
On October 4, Andrei Grachev, co-founder of DWF Labs, said that if Trump wins the midterm election and pushes for $5,000 to be distributed to every adult, the size of the stimulus could reach 1.5 times the “helicopter money” scale during the pandemic. At that time, some of the funds are highly likely to flow into stocks and the crypto market. BTC may be the first to benefit, followed by rotation into ETH, SOL, and other high-beta assets.
But don’t assume the $5,000 is a guaranteed positive. This is still a conditional policy promise. Whether it can be implemented, where the money will come from, and whether congressional approval is required are all uncertain.
If it is carried out, the transmission logic is clear:
Fiscal stimulus → higher household cash → risk appetite rebounds → funds flow into BTC and crypto assets → the market enters a liquidity-driven trading phase.
However, we also can’t ignore another path:
Increased fiscal spending → rising deficit and inflation expectations → higher U.S. Treasury yields → a stronger U.S. dollar → limited room for Fed rate cuts → pressure on risk assets.
So this is not a straightforward positive for BTC. The key is whether the market is trading “increased liquidity,” or “inflation and interest-rate pressure.”
My view is that if the policy moves into the formal legislative or implementation stage, the market may front-run liquidity expectations, and there’s a real chance the rally could play out like a 2021-style bull market. But if U.S. Treasury yields and the dollar rise in tandem, risk assets could rise first and then fall.
Also, once the rally is truly realized, you can’t just keep adding to your position. Large-scale stimulus often pushes asset prices to extremes, and after the boom there may come even bigger inflation, debt, and financial risks.
So what really matters isn’t the $5,000 figure, but whether the policy can be implemented, whether the funds actually enter the market, and whether U.S. Treasury yields will spiral out of control.
Do you think this will be the starting point for a new big bull market—or the last wild celebration before a crisis arrives?