U.S. President Donald Trump has indicated the possibility of replacing Federal Reserve Chair Jerome Powell, which could significantly impact the country's monetary policy and the cryptocurrency market.
Trump's Plan for Fed Chair Replacement
Trump has confirmed that he is interviewing candidates to replace Jerome Powell, despite Powell's term running until May 2026. This news has sparked discussions on Wall Street and in Washington.
Who's on the Shortlist for Fed Chair Candidates
Candidates reportedly being considered include: * Bill Hwang – founder of the controversial Archegos hedge fund; * Kevin Warsh – former Fed Governor; * Kevin Hassett – former head of the National Economic Council; * Christopher Waller – current Fed Governor; * Scott Bessent – former Treasury Secretary. No official candidates have been confirmed as of yet.
Impact on Rates and the Crypto Market
The discussion of a potential replacement could influence economic forecasting. Analysts suggest that there may be increased chances of a rate cut in July 2025, which would subsequently affect cryptocurrencies. The escalating tension between Trump and Powell could heighten expectations for monetary policy changes, possibly impacting market stability.
While the legal aspects of replacing the Fed Chair may be complicated, Trump's focus on potential successors adds pressure to monetary policy discussions and may affect both financial and cryptocurrency markets.
