White House Considers Ousting Fed Chair Powell Amid Rate Cut Controversy

The Federal Reserve's pause on interest rate cuts since December has ignited political tensions, with Chair Jerome Powell facing mounting pressure from the TRUMP administration. Allegations of election-year maneuvering have intensified scrutiny, as the White House reportedly drafts plans for his removal.

Trump's public criticism of Powell's delayed rate cuts—including weekly social media demands—has escalated into a broader conflict. The Fed's defense of its historic building renovation costs further strained relations, redirecting attention to Trump's tax policies. Internal dissent at the Fed surfaced when three members hinted at July rate cuts, fueling speculation about Powell's future.

Market implications loom as the FHFA chairman amplified resignation rumors. cryptocurrency traders are monitoring the situation closely, as Fed policy shifts could impact liquidity conditions for Bitcoin and altcoins. The administration's push to replace Powell introduces unprecedented uncertainty for monetary policy ahead of the election.