Powell "fired" rumor escalates, Trump reverses stance! Bitcoin short-term rebound

Fed Chairman Powell is suspected of being pressured by Trump, with multiple signals intensifying market unease, but Trump subsequently denied any plans to oust him. Bitcoin rose sharply above $120,000 in the short-term. The crypto market is betting on a change in leadership at the Fed, which may signal a shift in monetary policy and help sustain the BTC bull run.

Trump denies plans to fire Powell, rumors ignite market sentiment During a closed-door meeting with Republican lawmakers, U.S. President Donald Trump was reported to have suggested whether Powell should be removed from his position, but later denied plans to fire the Fed chairman during a White House meeting. The news sparked strong reactions from both the crypto community and the political sphere. The New York Times reported that Trump even waved a draft letter to "fire Powell" during a meeting with House lawmakers. The meeting was originally intended to advance crypto-related legislation, but Trump once again steered the conversation towards his long-standing dissatisfaction with Powell.

Congress members give advance notice, predicting a surge in market enthusiasm Republican Congresswoman Anna Paulina Luna previously hinted that Powell would be dismissed, igniting enthusiasm in the crypto prediction market Polymarket. Data shows that the market's probability of Powell stepping down in 2025 soared from 16% to 25%, while another prediction indicated that 10% of people believe Trump will "take action" before the end of August. In addition, Treasury Secretary Scott Bessent publicly stated on July 15 that "the formal process of searching for Powell's successor has begun."

Transforming budget into reason for "炒人", Bitcoin benefits from rebound Trump's allies believe that the $2.5 billion renovation budget for the Fed headquarters, led by Powell, constitutes "mismanagement" and "dereliction of duty," providing grounds to initiate impeachment proceedings. William Pulte, head of the Federal Housing Finance Agency, even stated in a post that Powell "is considering resigning." As a result, the price of Bitcoin rose rapidly. According to Gate market data, as of the time of publication, Bitcoin is priced at $120,324.5, with a 24-hour rise of 1.42%.

Market Interpretation: Policy Uncertainty Becomes Catalyst for BTC Rise Although Trump denies that he will fire Powell, the frequent signals and public opinion trends have led the market to begin factoring in the possibility of a "Fed policy shift." The market generally believes that if Trump successfully replaces the Fed chairman, it may trigger increased expectations for rate cuts and strengthen risk assets, with Bitcoin being the main beneficiary.

Conclusion: As the struggle over encryption policy intensifies and the turmoil surrounding Powell escalates, the market's sensitivity to macro policies continues to rise. Investors need to closely monitor personnel changes at the Fed and the next moves of the Trump administration regarding crypto regulation and monetary policy. The crypto bull run is not over yet, and opportunities are emerging amidst the volatility.