This winter is particularly cold, but for the crypto community, the footsteps of spring are already very near.

On December 2nd, Trump dropped a bombshell at the White House: the announcement of the new Federal Reserve chair will be postponed until early 2026. As for the current chair, Powell? His countdown has begun, and he will officially step down in May next year. Don’t underestimate this personnel change—it will directly determine the pace of future rate cuts, the trajectory of the US dollar, and, of course, the fate of those digital assets in your wallet.

The timeline needs to be revised. Previously, the market expected the announcement before Christmas 2025, but now the official word is early 2026. The real watershed moment is May 2026, when Powell hands over the reins.

Treasury Secretary Bessent has already proactively withdrawn from the race, concentrating the suspense even more. Now there are five candidates left:

Kevin Hassett—a clear rate-cutting dove and the front-runner;
Christopher Waller—a technocrat from within the system, favoring a steady approach;
Michelle Bowman—an independent with an unconventional style;
Kevin Warsh—a veteran who has been through the financial crisis;
Rick Rieder—a market-oriented candidate who understands traders’ mindset.

There are three layers of meaning behind these moves.

First, rate cuts are likely to accelerate. Trump has criticized Powell for being slow to cut rates for a long time, even threatening to fire him. The incoming chair is very likely to be dovish, especially if Hassett takes over—rate cuts in 2026 could far exceed market expectations. Gold will rally, and as for cryptocurrencies? Even more so.

Second, the power transition will be smooth. The new chair may enter the Fed Board as early as January next year to get acquainted with the role, then officially take over in May, avoiding any abrupt policy shifts.

Lastly, don’t forget that the nominee still has to be approved by the Senate. Trump’s decisions are always full of drama, so the final outcome is far from certain.

The winter has arrived, but those with sharp instincts have already started preparing for spring.