The post Bitcoin gains after Jerome Powell warns of Fed ‘intimidation’ – Here’s why appeared on BitcoinEthereumNews.com. The U.S. Federal Reserve’s independenceThe post Bitcoin gains after Jerome Powell warns of Fed ‘intimidation’ – Here’s why appeared on BitcoinEthereumNews.com. The U.S. Federal Reserve’s independence

Bitcoin gains after Jerome Powell warns of Fed ‘intimidation’ – Here’s why

The U.S. Federal Reserve’s independence has hit the headlines again this week after Chair Jerome Powell publicly criticized political pressure from President Donald Trump. 

According to analysts, the recent Department of Justice (DoJ) probe into Powell could ultimately benefit safe havens such as gold and emerging alternatives like Bitcoin [BTC]. 

Fed’s Powell pushback

For Powell, the investigation into the Federal Reserve buildings’ renovations was a “pretext.” According to him, Trump was after him for failing to cut interest rates aggressively to suit the President’s demands. 

He vowed to fight back against what he perceived as “intimidation” against the central bank. He added, 

 Fed’s crisis and impact on BTC

Following Powell’s statement, BTC surged immediately from $90.5k to over $91k, while the U.S. dollar index (DXY) slipped slightly.

According to analysts at Presto Research, a “compromised Fed independence” would fuel demand for alternative safe havens. 

Source: Presto Research/X

In April 2025, Trump threatened to dismiss Powell, and BTC rallied while U.S. equities sold off. Similar reports later in 2025 triggered the same market reactions, which reinforced BTC as a “safe haven” asset, much like gold. 

With the Fed-Trump tussle culminating in a formal investigation of Powell in 2026, analysts believe that past trends will likely repeat themselves.

In an email statement to AMBCrypto, Eliézer Ndinga, Global Head of Research at 21Shares, said, 

He added, 

On his part, Farzam Ehsani, CEO of cryptocurrency exchange VALR, told AMBCrypto that the escalating White House-Fed conflict was a “concerning precedent.”

He called for caution in the coming weeks, noting that, 

“Investors should exercise extreme caution in the coming weeks. The crypto market could react sharply to the outcome of the conflict. “

But if the White House wins, it could fuel a massive BTC rally, Ehsani added.


Final Thoughts

  • Regardless of the outcome of the Fed-Trump conflict, analysts believe it would benefit BTC as a ‘safe haven.’
  • In 2025, a similar escalation fueled a gold rally and alternative stores of value such as BTC and silver. 
Next: Understanding Ethereum’s ‘walkaway test’ – Who really keeps the network alive?

Source: https://ambcrypto.com/bitcoin-gains-after-jerome-powell-warns-of-fed-intimidation-heres-why/

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