17.07.2025 01:10
Reports surfaced that President Trump intends to dismiss Federal Reserve Chairman Jerome Powell, triggering a swift surge in Bitcoin's price. This news, originating from a White House official and reported by Bloomberg, immediately propelled Bitcoin to a high of $19,000. The potential for a subsequent Fed rate cut, a move Trump has aggressively advocated for, fueled this rapid price increase.
Bitcoin's value experienced a significant jump, climbing from approximately $18,400 to $19,000. Currently trading above the crucial $19,000 psychological level, the cryptocurrency appears poised to reclaim the $20,000 mark. Market sentiment leans bullish, driven by the belief that a replacement for Powell could implement looser monetary policies, injecting much-needed liquidity into the cryptocurrency market. This expectation is further bolstered by Trump's consistent calls for substantial interest rate cuts, including a recent plea for a 300-basis-point reduction. The president's purported discussions with congressional Republicans, who reportedly expressed support for this action, add weight to this speculation.
Adding further intrigue to the situation, this development follows closely on the heels of Treasury Secretary Scott Bessent's announcement regarding the commencement of the search for Powell's successor. Data from Polymarket suggests that White House advisor Kevin Hassett is currently the frontrunner to fill the position. This is particularly significant given Hassett's publicly stated belief that the Federal Reserve has considerable leeway for rate cuts, a perspective that aligns perfectly with Trump's economic agenda. Bitcoin's current price action strongly suggests the market has already begun to factor in this potential scenario.
However, President Trump subsequently refuted the reports claiming he plans to fire Powell, creating uncertainty in the market regarding the future direction of monetary policy and its impact on Bitcoin’s price. The conflicting information underscores the volatile nature of the cryptocurrency market and its sensitivity to geopolitical and economic developments. The situation remains fluid, with market participants closely watching for further developments and their impact on both traditional financial markets and the cryptocurrency ecosystem.
