Sunday Rally, Will It Last?
After a challenging start to November, the Trump Administration announced on Sunday morning a new plan that boosted bitcoin and related assets into positive territory.
The Administration intends to issue a $2,000 payment to American citizens, excluding the wealthy, funded by the U.S. government. Treasury Secretary Bessent noted that the method of payment has not been finalized and could potentially take the form of a tax adjustment.
"The payment form has not been determined yet, and could be seen in taxes possibly."
This stimulus resembles actions taken in spring 2020, sparking a notable rally in the market. Bitcoin has surged, currently exceeding $105,000.
Funding rates on perpetual contracts have returned to over 10% annualized, while front-month futures remain nearly flat.
The White House’s Sunday announcements seem to have a more positive impact on markets compared to typical Friday afternoon tweets announcing tariffs or other measures.
Several more days of strong gains are needed to restore genuine market momentum.
Ethereum has outperformed, rising over 5% today and climbing above the $3,500 mark.
"A few more solid green days are needed in order for real momentum to come back to the markets."
Summary: The Trump Administration's proposed $2,000 payment has reignited optimism in cryptocurrency markets, with bitcoin and ethereum showing strong rallies amid hopes for sustained momentum.