Trump’s Comments Boost Warsh’s Fed Chair Odds

On January 17, 2026, President Trump signaled intentions to retain Kevin Hassett as National Economic Council Director, hinting at Kevin Warsh’s frontrunning position for Federal Reserve Chairmanship in Washington.

Kevin Warsh’s hawkish stance on inflation could influence U.S. monetary policy, potentially impacting cryptocurrency markets by altering investor expectations on interest rates and quantitative tightening trends.

Kevin Warsh’s Fed Chances Surge to 60%

President Trump expressed his desire for Kevin Hassett to continue in his current role, indirectly boosting former Fed Governor Kevin Warsh’s odds for Fed Chair. Hassett’s nomination probability declined, while Warsh’s rose above 60% on prediction markets.

Shifted market expectations now favor a hawkish approach under Warsh’s potential leadership, although he is expected to support rate cuts. Balance sheet reduction policies may also advance under Warsh’s agenda.

Warsh has suggested that “inflation is a choice,” indicating the Fed’s role in driving inflation rather than supply chain issues. As such, his potential appointment could signal significant policy adjustments, affecting various economic sectors.

Bitcoin Dips: Insights and Historical Context

Did you know? Kevin Warsh’s hawkish viewpoints mirror market situations from the late 2010s, when Jerome Powell’s Fed Chair nomination generated similar market dynamics, impacting inflation perceptions and driving comprehensive responses in financial policies.

As of January 16, 2026, Bitcoin stands at $95,095.02, with a market cap of $1.90 trillion and a 24-hour volume of $39.04 billion. Bitcoin’s price slightly declined by 1.51% in the past 24 hours, reflecting moderate market fluctuations. Data source: CoinMarketCap.

Insights from the Coincu research team indicate that Kevin Warsh’s potential appointment as Fed Chair could prompt increased market volatility. Historical trends suggest ripple effects on cryptocurrency prices and regulatory scrutiny, given the nature of Warsh’s economic policies.