Key Takeaways
- Today’s crypto market rally is potentially driven by Trump’s tariff dividend plan, the government shutdown nearing an end, and SOFR reaching a multi-year low.
- An expert noted that during COVID-19, Americans received a $1,200 check, which would now be worth $21,270 if invested in Bitcoin.
- BTC, ETH, XRP, and SOL have posted gains of 2.10%, 4.15%, 2.05%, and 4.02%, respectively.
Today, the crypto market is once again on the rise, with major assets including Bitcoin (BTC), Ethereum (ETH), and XRP posting impressive gains. Many investors are now wondering what’s driving this surge — and whether this rally has the strength to continue, or if it will fade like previous ones.
What’s Fueling the Crypto Market Rally Today?
As per the latest update, the key catalysts driving today’s upward rally are billions of dollars of tariff dividend plan announced by U.S. President Donald Trump, the government shutdown nearing its end, and the SOFR (Secured Overnight Financing Rate) hitting its multi-year low.
Trump’s $2,000 Tariff Dividend Plan
Recently, Trump shared a post on X stating that at least $2,000 per person will be paid to every American, excluding high-income individuals.
Following this post, The Kobeissi Letter revealed that more than 85% of American adults qualify for the $2,000 dividend, which means over $400 billion in funds will be required for this tariff dividend distribution.
In response to Trump’s $2,000 tariff dividend plan, a crypto expert recalled the COVID-19 stimulus when an American received a check worth $1,200, which would now be worth $21,270 if invested in Bitcoin.
A flood of cash into the economy could certainly trigger a massive bull run in the crypto market if people invest, but there are still concerns about how and when Americans can expect this tariff dividend.
Recently, a crypto community shared a post on X stating that Bessent believes Trump’s $2,000 dividend to Americans could come in the form of a tax cut.
Re-opening of the US Government
Another catalyst fueling the crypto market’s upward momentum is the end of the U.S. government shutdown, which began on October 1, 2025.
A recent post shared by the official America X handle revealed that the U.S. Senate has officially passed the continuing resolution to end the shutdown, sending it to the House of Representatives for a final vote to reopen the government.
SOFR Reaches Multi-Year Low
Adding to the bullish momentum, another key factor driving the crypto market’s upside is the steady decline in SOFR. According to the latest report, the SOFR rate has reached a multi-year low, signaling easier liquidity conditions in the market.
This decline in borrowing costs often encourages investors to seek higher returns in riskier assets like cryptocurrencies, further strengthening the upward momentum.
All these catalysts together are lifting the overall crypto market, with BTC, ETH, XRP, and SOL posting gains of 2.10%, 4.15%, 2.05%, and 4.02%, respectively, according to TradingView data.
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