Trump’s Fed Pressure Sparks Bitcoin Rally Speculation: A 2019 Repeat?
As President Donald Trump renews his pressure on Federal Reserve Chair Jerome Powell, cryptocurrency markets are buzzing with speculation about a potential repeat of Bitcoin’s historic 2019 surge. This article explores the parallels between current events and the market conditions that previously propelled BTC from $3,500 to $42,000, while examining what this could mean for Bitcoin’s current price of $109,727.81 (as of May 26, 2025).
Trump’s Crypto Stance Reignites Bitcoin Surge Speculation
President Donald Trump’s renewed pressure on Federal Reserve Chair Jerome Powell has drawn parallels to his 2019 tactics, which preceded Bitcoin’s historic 12-fold price surge. Market participants are scrutinizing Trump’s demands for immediate rate cuts—a move that previously correlated with crypto market rallies.
Bitcoin’s 2019 performance following similar political interventions saw the asset climb from $3,500 to $42,000 within two years. Analysts note the current macroeconomic climate—characterized by inflationary pressures and election-year dynamics—creates fertile ground for potential crypto market volatility.
Bitcoin Regains Safe-Haven Status as Correlation with Gold Turns Positive
Bitcoin’s 30-day correlation coefficient with Gold has surged to 0.54 as of April 25, marking a dramatic reversal from February’s -0.67 reading. The renewed alignment between these alternative assets coincides with a 4% decline in the U.S. Dollar Index, driving capital toward inflation-resistant stores of value.
Since March, Bitcoin has outperformed gold with a 10% rally versus the precious metal’s 5% gain. This divergence follows February’s unusual dislocation when Bitcoin fell 17% against gold’s modest rise—a temporary anomaly in their long-term macro hedge relationship.
Why ’Sell in May’ Could Be a Huge Mistake in 2025, Analyst Reveals
Bitcoin’s trajectory in 2025 may defy the adage ’Sell in May and go away.’ Analysts highlight a tightening correlation between BTC and the global M2 money supply—a metric encompassing cash, savings deposits, and liquid assets. Central bank liquidity expansions by the Fed, ECB, or PBoC have historically preceded bitcoin rallies.
Kaduna’s lagged 90-day chart suggests this relationship will intensify next year, positioning May as a potential breakout month. The narrative shifts from seasonal skepticism to structural momentum, with macro liquidity acting as a tide lifting crypto’s flagship asset.
Bitcoin Nears $100,000 Milestone Amid $3 Billion ETF Inflows
Bitcoin surged past $95,000 this week, marking its strongest rally since February 2025. The cryptocurrency’s march toward $100,000 coincides with record-breaking inflows into Bitcoin ETFs, which attracted over $3 billion in a single week—the highest since December.
Institutional interest appears to be driving the resurgence, with ETF flows serving as a barometer for renewed market confidence. The buying spree follows a prolonged consolidation phase, suggesting a potential inflection point in investor sentiment toward digital assets.
Bitcoin ETF Inflows Surge as Gold Lags—$120K Target in Sight, Says Standard Chartered
Bitcoin’s price trajectory remains bullish as institutional interest grows, with Standard Chartered predicting a rally to $120,000. The cryptocurrency has breached key resistance levels, with $95,765 as the next hurdle. A decisive close above this level could pave the way for a 20% climb to $102,239.
Gold, traditionally a safe-haven asset, is losing ground to Bitcoin as investors seek alternatives in times of uncertainty. The falling wedge pattern suggests further upside potential, reinforcing Optimism among market participants.
Bitcoin Is America’s New Gold In The Trump Era: Howard Lutnick
Commerce Secretary Howard Lutnick has positioned Bitcoin as a strategic commodity under the TRUMP administration, drawing a direct comparison to gold. The shift marks a stark departure from the regulatory skepticism of the Biden era, where Bitcoin was often treated with suspicion.
Lutnick’s remarks, made during an interview with Bitcoin Magazine, underscore a broader policy realignment. The administration now views BTC as integral to trade, energy, and investment strategies, signaling unequivocal federal support.
The first hundred days of Trump’s return to the WHITE House have seen a flurry of Bitcoin-centric initiatives. This pivot reflects growing institutional recognition of cryptocurrency’s role in the financial system.
