Crypto News: Trump’s Attention Shifts As Powell Turns Dovish, Threatens To Fire Fed Governor — Details

US President Donald Trump is once again turning his attention to the Federal Reserve (FED) as Chair Jerome Powell adopts a more dovish tone on monetary ￰0￱ has openly threatened to dismiss FED Governor Lisa Cook, escalating political pressure on the central bank at a time when markets are already rattled by shifting rate ￰1￱ Governor Under Fire Over Trump Fraud Claims Trump’s ongoing clash with the Federal Reserve has intensified, with his latest focus shifting toward Cook, a Biden ￰2￱ has openly declared that if Cook does not resign from her role as the FED Governor, he will move to fire her, citing allegations of mortgage fraud. CNBC’s Sara Einstein revealed that Cook allegedly misrepresented primary residences during her tenure at the ￰3￱ further claim that Cook listed an Atlanta property as her primary residence while simultaneously offering it for rent, raising questions about potential ￰4￱ controversy quickly escalated after Federal Housing Finance Agency Director Bill Pulte referred the FED Governor to the Department of Justice (DOJ) for criminal ￰5￱ Special Attorney Ed Martin is now said to be reviewing the ￰6￱ Section 10 of the Federal Reserve Act, the President can dismiss a FED governor with ￰7￱ means that if evidence substantiates Trump’s claims, Cook’s role could be in jeopardy.

However, CNBC’s Steve Liesman argues that this situation appears to be politically ￰8￱ stressed that foreign and former central bankers view the new focus on Cook as part of Trump’s wider strategy to consolidate influence over the Federal Reserve, rather than an isolated misconduct ￰9￱ observed that had it not been Cook, the administration would likely have directed similar scrutiny toward other FED officials in a broader push to exert pressure on the ￰10￱ some see the allegations as a political attack on the Federal Reserve’s independence, Einstein maintains that if Cook indeed violated housing and mortgage laws, the matter deserves full legal ￰11￱ now, Cook remains in her position as FED Governor, but the mounting pressure from the White House signals that the dispute between Trump and the Federal Reserve is far from ￰12￱ Rate Cuts Put Crypto In Focus Notably, Trump’s threats toward Governor Cook come after Powell struck a more cautious and accommodative tone at the annual Jackson Hole conference this ￰13￱ FED Chair signaled that rate cuts could be warranted given the slowing economy and difficulties in the labor ￰14￱ he did not explicitly confirm an upcoming monetary easing, Powell emphasized that the Federal Open Market Committee’s (FOMC) decisions would remain guided by economic data and not political influence.

Interestingly, the FED Chair’s new dovish stance has sparked discussions across financial ￰15￱ the crypto sector, the implications could be particularly significant. Historically, rate cuts and lower borrowing costs have driven liquidity into riskier asset ￰16￱ like Bitcoin and Ethereum typically benefit from the increased capital inflows and bullish sentiment that follow such decisions.