Trump’s Fed Shakeup Sends Bitcoin Soaring—Is Powell’s Exit the Catalyst?

Bitcoin surges as political winds shift—Trump's rumored Fed chair replacement sparks crypto rally.

Market tremors ahead of Powell's ouster

Speculation runs wild as traders bet on a more crypto-friendly Fed. Because nothing says 'sound monetary policy' like kneejerk reactions to political theater.

BTC bulls charge while traditional finance scrambles to keep up—same old story, just a new chapter.

TLDR

• Bitcoin price rose by 0.63 percent during the early London trading session, marking its fourth consecutive day of gains.
• The price closed June 25 with a 1.19 percent gain and continues to trade strongly at $107,931.
• A combination of geopolitical events and monetary policy comments supported the ongoing upward trend in the Bitcoin price.
• The United States carried out strikes on Iran’s nuclear facilities and helped facilitate a ceasefire in the Middle East.
• These actions boosted investor confidence and contributed to the bullish movement in Bitcoin price.

Bitcoin’s (BTC) price increased by 0.63% during the early London trading session, marking the fourth straight day of upward momentum. The rally follows a combination of geopolitical events and recent monetary policy signals from the United States. Markets reacted positively, as Bitcoin closed June 25 with a 1.19% gain and continues trading at $107,931.

Bitcoin Price Climbs Amid Geopolitical Moves and Ceasefire Talks

The recent Bitcoin price uptick started after the United States intervened in the Iran-Israel conflict, targeting key nuclear facilities in Iran. This intervention was followed by active efforts to establish a ceasefire, adding stability to global markets. As a result, Bitcoin price reacted positively as uncertainty briefly eased across risk-sensitive assets.

Following the strikes, traders increased exposure to digital assets while traditional safe-haven flows stayed relatively subdued. The combined military response and diplomatic push appeared to restore short-term investor confidence. Consequently, Bitcoin’s price built momentum, which was supported by both dip-buying and broader market relief.

The ceasefire announcement created a supportive backdrop for continued gains, pushing sentiment further into bullish territory. Though the ceasefire remains tentative, short-term market participants responded with increased volume. Thus, bitcoin price extended its rally, reflecting growing confidence in risk markets.

Trump’s Fed Comments Add Fuel to Bitcoin Price Momentum

At the 2025 NATO Summit, U.S. President Donald Trump confirmed plans to replace Federal Reserve Chair Jerome Powell. Trump signaled frustration with Powell’s refusal to cut interest rates and called for an immediate policy shift. His remarks introduced a fresh catalyst for bitcoin price gains in the current environment.

Bitcoin price surged as markets interpreted the Fed leadership change as a shift toward looser monetary policy. TRUMP emphasized he had already shortlisted potential replacements and hinted action may come soon. Traders responded quickly, positioning Bitcoin as a hedge against upcoming policy volatility.

President Donald Trump says he has three or four people in mind to succeed Federal Reserve Chair Jerome Powell when his term expires https://t.co/WaZITfDKAg pic.twitter.com/5OUUlIKhsf

— Bloomberg TV (@BloombergTV) June 25, 2025

This contradicts earlier comments in which Trump said he WOULD wait until Powell’s term ended in 2026. Now, with a more aggressive stance, markets foresee a faster transition. Therefore, Bitcoin’s price benefited from expectations of monetary easing despite uncertainty around the leadership timeline.

Technical Data Signals Strong Trend but Low Volatility

On the charts, Bitcoin’s price shows a strong uptrend, supported by the relative strength index, which remains above 50. The sustained RSI level confirms active bullish momentum, which aligns with current fundamental drivers. Buyers continue to dominate as long as the RSI holds above its median line.

However, Bitcoin Implied Volatility (IV) data paints a different picture, showing reduced expectations for near-term price swings. Historically, IV at lower bounds has preceded major breakouts or prolonged consolidations in BTC price. The indicator retested its lower limit again on June 25, suggesting another strong MOVE could follow.

Similar IV patterns led to sharp Bitcoin price movements during previous tests on June 6, June 12, and June 18. With IV once again near its floor, traders anticipate increased volatility soon. As the market awaits the next move, the BTC price remains supported by strong technicals and geopolitical catalysts.