Bitcoin + Fed chair drama = market uncertainty?

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Bitcoin investors right now are waiting on the edge of their seats for one big move, who’s gonna replace Jerome Powell as Federal Reserve Chair?

It’s like when you’re stuck in that endless office meeting, waiting for the boss to drop some good news, or better yet, to finally pick the new head honcho who’ll decide your fate.

Because, let me tell you, until that presidential announcement comes outta the Trump camp, Bitcoin’s price? Yeah, it’s not fully in the game yet.

Candidates

Everyone’s talking about a September rate cut, expecting the Fed to loosen the reins and boost markets.

But economist Alex Krüger says it ain’t that simple. He’s betting that Bitcoin won’t finally get priced in until Trump names Powell’s replacement.

You see, Powell’s term runs out in May 2026, but the President has already started tossing around some candidates.

Why’s this so important? The Fed’s monetary policy, that interest rate wizardry, shapes everything. It tells investors whether to play it safe or take wild risks.

When the Fed gets dovish, cutting rates, the crypto scene usually perks up. And if the new Fed Chair has a softer touch? Oh boy, that could send Bitcoin jumping even higher.

New leadership at the Federal Reserve

Now, about Trump’s shortlist. Reports say there’s a whole lineup of eleven candidates, big names like David Zervos from Jefferies, Rick Rieder at BlackRock, and even former Fed Governor Larry Lindsey.

But whispers suggest Trump’s already whittled it down to just three or four people. And the announcement? Might come sooner than anyone expects.

Of course, this isn’t without drama. Why would it? Trump and Powell? They haven’t been best pals.

Since Trump took office, he’s been loud and clear about wanting rate cuts, even blasting Powell publicly.

Back in April, he tweeted, Powell’s termination cannot come fast enough. And that sentiment’s got some backing, like Florida Senator Rick Scott calling for new leadership at the Federal Reserve.

The real party

The market? Oh, it’s counting down to that September 17 meeting, with about 84% betting on a rate cut, according to CME’s FedWatch Tool.

Coinbase’s David Duong points out there’s a ton of retail money, think everyday investors hanging back in money market funds, waiting for the Fed’s easing signal to jump into crypto again. That signal could unleash a flood of new buying.

So, Bitcoin’s dance with the Fed isn’t over. The real party might just start when Trump’s Fed Chair pick drops.


Disclosure:This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Kriptoworld.com accepts no liability for any errors in the articles or for any financial loss resulting from incorrect information.

András Mészáros
Written by András Mészáros
Cryptocurrency and Web3 expert, founder of Kriptoworld
LinkedIn | X (Twitter) | More articles

With years of experience covering the blockchain space, András delivers insightful reporting on DeFi, tokenization, altcoins, and crypto regulations shaping the digital economy.

📅 Published: August 21, 2025 • 🕓 Last updated: August 21, 2025
✉️ Contact: [email protected]

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