Trump Attacks Fed, Wall Street Shudders, Bitcoin Draws Strength

US monetary markets plunged Monday whereas cryptocurrency costs remained agency, as US President Donald Trump ramped up his public feud with Federal Reserve Chairman Jerome Powell, The Guardian and different information shops reported Tuesday.

The conflict between the nation’s highest political and financial leaders shook conventional markets to their core however left crypto surprisingly unscathed.

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Inventory Markets Plummet After Presidential Remarks

American inventory indices closed forcefully decrease on April 21, with broad losses at main benchmarks. The S&P 500 declined 2.3%, the tech-dominated Nasdaq misplaced 2.4%, and the Dow Jones Industrial Common plummeted by virtually 1,000 factors, down 2.4%, based mostly on Google Finance knowledge.

JUST NOW: President Trump calls Jerome Powell a “main loser” and calls for rates of interest lowered “now” pic.twitter.com/rAM7CVmPw2

— Morning Brew (@MorningBrew) April 21, 2025

Trump Calls For Charge Cuts And Slams Fed Chair

Underlying the market volatility is a quickly intensifying conflict between President Trump and Federal Reserve Chairman Powell. Trump used his April 21 Fact Social discussion board to submit that “Preemptive Cuts in Curiosity Charges are being referred to as for by many.”

The President contended fee cuts are warranted as a result of “Power Prices [are] means down, meals costs [are] considerably decrease, and most different ‘issues’ [are] trending down,” asserting “there’s just about No Inflation.”

Trump has repeatedly criticized Powell, calling him “Too late and improper” for not reducing rates of interest, which stay at 4.5%.

Tensions rose after Powell warned that Trump’s tariffs may trigger stagflation, prompting the president to demand his removing, saying his “termination can not come quick sufficient.”

Greenback Weakens Whereas Crypto Exhibits Energy

Because the political battle rages on, the US Greenback Index (DXY), which tracks the dollar relative to different vital currencies, dipped beneath 98 on April 21, recording a three-year low.

This follows a falling pattern that has had the greenback drop over 10% of its worth because the begin of 2025, newest knowledge exhibits.

Bitcoin Unfazed Amid Political Turmoil

In stark distinction to conventional markets, cryptocurrencies have maintained their weekend features. The overall cryptocurrency market capitalization, based mostly on TradingView knowledge, remained regular at $2.74 trillion.

Bitcoin worth, in line with knowledge from Coingecko, hit a four-week excessive of $88,428.

Why is the worth of bitcoin flat? Ought to Trump fireplace Jerome Powell? Will The US lose reserve forex standing?

I reply your questions pic.twitter.com/S7Q6hANR3H

— Anthony Pompliano (@APompliano) April 18, 2025

Business Figures Warn Vs. Political Interference

Cryptocurrency businessperson Anthony Pompliano warned towards presidential intervention within the Federal Reserve management.

In a video he uploaded on X on April 18, Pompliano declared that he doesn’t consider that Trump ought to are available and unilaterally fireplace the Fed chair.

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He additional acknowledged that coverage disagreement firings would lead the nation into perilous waters: “The place you have got a disagreement after which the firing, I feel that’s not likely the realm that we need to go into.”

Market specialists consider the central financial institution will maintain regular at its subsequent assembly on Could 7. Based on knowledge, rate of interest markets now forecast solely a 13% likelihood of a fee discount at that session.

Featured picture from Chip Somodevilla/Getty Photos. chart from TradingView