08.08.2025 18:13

Bitcoin experienced a brief surge, exceeding $117,000, following President Donald Trump's unexpected nomination of Stephen Miran, a crypto-friendly economist, to the Federal Reserve Board of Governors. This appointment, announced on Trump's Truth Social platform, replaced Adriana Kugler, who resigned on August 1st to return to academia. Miran, currently the Chairman of the White House Council of Economic Advisers, will serve until January 31st, 2026. Trump lauded Miran's "unparalleled" economic expertise and his distinguished service during his previous administration.

The appointment of Miran, a presumed Trump ally, suggests a potential shift towards a more dovish monetary policy. This aligns with Trump's previously expressed desire for lower interest rates. His inclusion in the September FOMC meeting, where a rate cut is anticipated for the first time since December 2024, could be his inaugural significant contribution to the Federal Reserve's decision-making.

Trump's dissatisfaction with Federal Reserve Chairman Jerome Powell, and his past threats to remove him, have been well documented. The President consistently urged Powell to adopt looser monetary policies, arguing this would alleviate the government's debt. Despite this pressure, the Fed maintained its benchmark interest rate, closely monitoring the potential inflationary impact of Trump's new tariff policies. While Powell remains in his position for now, the possibility of a future Fed chair who favors rate cuts remains a source of speculation amongst market analysts, fueled by Trump's actions. This uncertainty, combined with Miran's appointment, has injected further volatility into the crypto markets. The long-term implications of this appointment for monetary policy and the Bitcoin price remain to be seen.