Trump’s Fed Chair Speculation Roils Prediction Markets as Crypto Watches Closely
Political turbulence around Federal Reserve leadership is creating waves across traditional and digital asset markets. Prediction traders reacted swiftly to Trump's WSJ comments favoring Kevin Hassett, with Kalshi odds jumping from 15% to 40% within hours. Meanwhile, Hassett's probability slid from 80% to below 60% - a volatility spike reminiscent of crypto's own BTC and ETH price action.
The White House meeting saw intense scrutiny of monetary policy leanings, particularly after Trump's repeated public attacks on current Chair Powell. This comes as the Fed maintains a cautious stance despite three consecutive rate cuts bringing policy rates to three-year lows. Market observers note parallel tensions in crypto markets, where assets like SOL and DOT remain sensitive to macro liquidity conditions.
