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Trump strives to shoot the Fed Jerome Powell chair over the Supreme Court. Good news for the crypto market?

The Jerome Powell’s federal reservation chair was named one of the greeting chairs as it must engage in a terrible riot created by the policy of Donald Trump policy. Since Powell ignored Trump calls to reduce interest, Trump decided to fire him over the Supreme Court. Dive deeper into the nature of this conflict and determine whether Powell’s resignation would be good for the CRIPTO.

What led to the conflict?

First, Powell-Trump conflict is not new. Consistent leaning of Powell is fed to maintaining interest rates high to keep inflation in check, was always a problem for Trump. However, in December 2024. years, Trump said Wouldn’t try to make Powell Go. However, the Trump seems to have had enough this time.

Tariffs arranged for trading dozens of countries on the so-called Oslobođenja Day 2. April, they seriously shook stock market around the world. The crypto markets responded with 10 to 20 percent of Padua 7. April. On the same day, many stock exchanges have seen many stock exchanges in decades. CRIPTO Liquidation reach about 888 million dollars that day.

American markets saw the lower fall. Partly, this can be explained by rumors of possible 90-day breaks on tariffs. The white house rejected the news as false news, but later it turned out to be true, except China. Instead, they were arranged by American racing tariffs on China, raising it at 145% from the time of pressure. The media called the Tariffs “Shock” for the economy and markets.

The fear index of the feed is reach Powerful “extreme fear” Point after the liberation day and next week. The situation began to look forward to small businesses in the US, because Bill Frihing Cvate Cense Bill Ackman vividly pointed out in the X post shown below.

Donald Trump did not express regret due to the bombing of the market. He is in February and he warned The public about “pain” that tariffs can lead to Americans. He proposed that this is a reasonable price for the arrival of the Golden Age of America.

However, a 90-day break and openness for negotiations with many countries, including China, changed the vibration. Some believe that Trump intentionally wanted to frighten other countries to negotiate them with American conditions. Another considered Trump capitulated at the anger billionaires and investors. Either way, many do not understand how obstacles for American companies with production business in China can help America progress.

10. April, the inflation rate in the United States has been discovered. Although Trump reacted to the news that inflation was positively decreased, he demanded the interest rate as he cut as a medicine on market handling. The decision should bring Fed, which is an independent agency. Jerome Powell, the chairman of this independent agency, showed reluctance to reduce rates.

Powell vs. Trump

According to a recent article VSJ, Powell is facing non-conquest of situations in which it cannot bring a perfect decision whether to reduce rates or not. Any way causes harm to the economy. The assessment agents will release inflation while storing rates because they ignore the deceleration of the economy and allow the decline in the labor market, which will cause inflation in turn.

However, Powell does not see a reason to stop rates and sticks to keep inflation and tease risks for the economy. 4. April, he said These central banks should first evaluate changes in trade policy that Trump expressed a high -trip.

Apparently, Donald Trump is not impressed with this co -roning, and supposedly strives to strengthen to connect through the Supreme Court. According to Bloomberg’s report, Trump begged The Supreme Court on fire sets high officials of two independent agencies. This could be a potential attack on Powell, who Recently received to avoid staying until the end of his term.

If the Supreme Court dismants Presend in 1935. year who set Humphrey’s Ekezular against the United States case, Powell could end up. Precedent increases the protection of its current position and saves it from the cracking of the executive. However, the precedent can be seen as conflict with Article II of the Constitution, which Trump can use As a legal basis for the abolition of Powell.

Such an approach can be seen as Trump’s stunt to concentrate a lot of strength in his hands and reduce decentralization in the government. On the other hand, investors who want to reduce costs can boast the move if actually takes place.

Would the crippto market use from Pizell’s resignation?

In December 2024. Powell announced a reduction in low interest, reversal Cripto Bull Run was in full swing at the time. It was hard seen as a crypt ally at the time. On other occasions, however, Powell supports; For example, the financial institutions criticized the fight for crypts. Earlier, Fed signaled His intention to reduce rates in 2026. years, which would take the way for further adoption of Bitcoin in the future.

Abdomen Maja Try to nominate more Crypto Kevin Varsh as Powell’s heir or find someone obedient, who will cut the rates every time. Lower interest rates can start inflation that is good for Bitcoin in the short term. However, the trump cards in the total cryptic policies are already Bilcoin Bilcoin and bothering the Supreme Court to abolish Powell, which is quite strongly worked, just to reduce interest rates, may not be a good move. Powell term ends in May 2026. Years. Let’s see what happens.



https://crypto.news/app/uploads/2025/02/cropped-crypto-news-Trump-is-right-to-ban-CBDCs-option03.webp

2025-04-11 10:27:00

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