Bitcoin Braced for Apocalyptic Price Shock After White House Confirms Fed Bombshell
The bitcoin price has been treading water in recent days, amidst market chaos sparked by US President Donald Trump’s trade war. The ongoing uncertainty has led to a significant decline in the bitcoin price, which has plummeted from its January peak of almost $110,000 per bitcoin.
According to a report by Forbes, the White House has confirmed that Trump is exploring whether he can fire Federal Reserve chair Jerome Powell, a move that could trigger an "apocalyptic scenario" for markets. This development has significant implications for the bitcoin price, as well as the broader stock market.
"The president and his team will continue to study that matter," Kevin Hassett, Trump’s economic adviser, told reporters at the White House when asked if firing the Fed chair was an option and if Trump has the authority to remove Powell. This statement has added to the uncertainty surrounding the situation, with many experts warning of the potential consequences of such a move.
In a recent post on his Truth Social account, Trump expressed his dissatisfaction with Powell, stating that "Powell’s termination cannot come fast enough" after Powell reiterated his intention to keep interest rates on hold due to uncertainty over Trump’s tariff trade war. This public criticism of Powell has raised concerns about the potential for a confrontation between the White House and the Federal Reserve.
Bilal Hafeez, chief executive of investment research company Macro Hive, told The Telegraph newspaper that firing Powell would be a "huge, huge shock" and could be described as an "apocalyptic scenario for the market." This sentiment was echoed by billionaire Ray Dalio, who warned that the US is teetering on the verge of a financial crisis and recession that could be worse than 2008.
The bitcoin price has been affected by the market uncertainty, with the cryptocurrency experiencing significant price swings in recent days. According to Forbes, the bitcoin price has shot higher after Trump doubled down on his calls for immediate, "preemptive" interest rate cuts. The cryptocurrency has climbed to over $88,000 per bitcoin, up from April lows of under $75,000.
Nic Puckrin, crypto analyst and founder of The Coin Bureau, noted that "bitcoin and gold are surging in tandem this morning as the market digests yet another shock move from US President Donald Trump—this time, an apparent outright threat to fire Federal Reserve chair Jerome Powell." Puckrin added that "this has caused the US dollar to plummet to a three-year low, but both gold and bitcoin are emerging as safe havens."
The ongoing trade tensions sparked by Trump’s tariffs have blown up the established order of international trade, fuelling market uncertainty and driving investors out of risk assets such as bitcoin and crypto. However, some experts have predicted that bitcoin will ultimately benefit and begin trading as "digital gold."
"Powell continues to sit on the fence with the ‘we’ll wait and see’ approach because he still believes tariffs will lead to higher inflation," bitcoin and crypto investor Lark Davis wrote in his Wealth Mastery newsletter. "Only time will tell but firing Powell risks bringing even more uncertainty to markets. However, intervention of some kind will be needed at some point, whether it’s rate cuts, quantitative easing or Trump softens. Or a mix. It’s a matter of when, not if."
As the situation continues to unfold, it remains to be seen how the bitcoin price will be affected by the potential changes at the Federal Reserve. One thing is certain, however: the market is bracing for a potential apocalyptic scenario that could have significant implications for the global economy.
The implications of the potential firing of Powell are far-reaching, and the market is likely to experience significant volatility in the coming days. As Forbes notes, the situation is being closely watched by investors, and any developments are likely to have a significant impact on the bitcoin price and the broader stock market.
In conclusion, the potential firing of Federal Reserve chair Jerome Powell has significant implications for the bitcoin price and the broader stock market. As the situation continues to unfold, it is essential to keep a close eye on developments and assess the potential impact on the market. With the market bracing for a potential apocalyptic scenario, it is clear that the coming days will be crucial in determining the future direction of the bitcoin price and the global economy.
For more information on the topic, please refer to the original article by Forbes: https://www.forbes.com/sites/digital-assets/2025/04/21/bitcoin-braced-for-apocalyptic-price-shock-after-white-house-confirms-fed-bombshell/.
