US President Donald Trump said he thought Jerome Powell was “ready to do the right thing” just last week.
But on Thursday, the Fed held rates steady, and the crypto market wiped out $150 billion in value, triggering $700 million in bullish liquidations and an all-caps Trump meltdown.
“He is TOO LATE, and actually, TOO ANGRY, TOO STUPID, and TOO POLITICAL, to have the job of Fed chair,” Potus said in a Truth Social missive.
Bitcoin slid to $114,400, its lowest level in three weeks, while Ethereum fell 5% to the $3,600 mark
The Federal Reserve kept its benchmark rate at 4.25% to 4.5% for the fifth straight meeting, sticking to a wait-and-see approach as officials say they need more data before considering cuts.
Trump called Powell a “total loser” and claimed he was “costing our Country trillions of dollars,” adding that the Fed’s building renovation is “one of the most incompetent, or corrupt” in history.
CME FedWatch data now shows just a 40% chance of a rate cut at the central bank’s September meeting, while the likelihood of no change has climbed to around 60%.
By December, traders see a 42% chance that rates will go one notch below current levels. That’s hardly the aggressive easing Trump and his allies have been pushing for.
On Polymarket, bettors now give chances of 0–1 cuts in 2025 a combined 59% probability, while the chances of three or more have plunged to just 8%.
The shift in sentiment is also likely factoring in inflation concerns and Trump reigniting his trade war.
Crypto market movers
Bitcoin has lost 3.3% in value over the past 24 hours and is trading at $114,700.Ethereum is down 6.4% in the same period to $3,615.
What we’re reading
CBOE bids to fast-track $8bn XRP ETF investment boom — DL News3 big pieces of news in 24hrs — Milk RoadSEC debuts ‘Project Crypto’ to bring U.S. financial markets ‘on chain’ — CNBCWhite House Releases Long-Awaited Crypto Policy Report — UnchainedRobinhood’s crypto revenue falls 36% as online brokerage misses historic rally — DL News
