About $40 billion from stimulus payments may be spent on Bitcoin

After the stimulus package worth trillions of dollars received the green light from US authorities, many Americans received their own stimulus checks. US citizens have decided to put these funds to interesting use, according to a new survey from Mizuho Securities. 

Managing Director of Mizuho, Dan Dolev predicted that about 10%, or nearly $40 billion of the $380 billion in direct stimulus checks, “may be used to purchase Bitcoin and stocks.”

According to the survey the flagship crypto asset, Bitcoin will account for “60% of total incremental investment spend.” The Mizuho team was able to calculate that this purchase could add as much as “2-3%” to Bitcoin’s current $1.1 trillion market cap. 

The survey involved approximately 235 individuals who earned less than $150,000 worth of household income. About 200 of these respondents stated that they expected to get the third phase of the direct stimulus checks soon.

Other than Mizuho, Bitcoin bulls have been making similar predictions. Earlier today, Galaxy Digital founder Mike Novogratz claimed that a lot of young American people will use their stimulus payments to invest in Bitcoin. 

Meanwhile, a leading investment banking group stated a similar prediction. David Kostin, chief US equity strategist at Goldman expected households to be “the largest source of equity demand this year.” Household net equity demand forecast has been raised to $350 billion from $100 billion, thus indicating a “faster economic growth and higher interest rates” than previously assumed.