2026-01-12 23:26:25

Tensions between Trump and Federal Reserve Chair Powell are escalating on the US political stage. This power struggle over policy independence could trigger deeper constitutional issues.

The core controversy revolves around: as an independent financial institution, the Federal Reserve's decisions should be based on economic data rather than political pressure. However, when the highest political authorities frequently make public comments on interest rate policies, the boundaries of this independence become blurred. Trump favors looser monetary policy to support economic growth, while Powell insists on a decision-making framework based on inflation data.

This confrontation could touch on fundamental issues within the US constitutional structure. Once political forces begin to directly interfere with the central bank's independent decisions, it could cause long-term uncertainty for the entire financial system. For the cryptocurrency market, such policy environment changes mean more unpredictable US dollar liquidity and interest rate trends.

The ultimate outcome of this political and economic tug-of-war will profoundly influence the US financial policy framework.

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GasFeeBeggar

· 01-15 23:12

Coming back with this again? Politicians are inherently inclined to control the central bank and have never truly been independent... If you don't believe it, look at history.

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POAPlectionist

· 01-15 20:48

Coming back with this again? If Powell were truly independent, he would have slapped Trump a few times already... Isn't this just a game of power, and in the end, retail investors are the ones who pay the bill.

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LiquidationAlert

· 01-14 06:26

The Federal Reserve has really become a political tool, making liquidity predictions in the crypto space even more difficult... If Powell really gets pushed out, I will directly short the US dollar.

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OnchainDetectiveBing

· 01-13 07:53

Basically, it's money printer go brrr vs controlling inflation. Whichever wins, the crypto world will have to watch and see.

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tx_pending_forever

· 01-12 23:56

Really, the independence of the Federal Reserve is about to disappear... With increased political pressure, even the Fed has to bow down, which is a nightmare for the crypto world. How much longer can Powell hold on? It feels like a compromise is inevitable. When that happens, the dollar will depreciate, interest rate policies will go haywire, and crypto prices will become even more volatile. I can understand Trump's desire for loose policies, but playing with central bank independence like this really ruins it. The US financial system will suffer as well. If this trend continues, dollar liquidity will be a mystery, and how the crypto market is priced will become unpredictable... No one can figure it out. The constitutional framework has been messed up, and the central bank has become a political tool. In the end, the biggest losers are us retail investors. If the central bank is truly hijacked by politics, then the Federal Reserve will become a paper tiger, and the uncertainty in the crypto space will only increase. This is a power game, and the ones who always end up paying are the market participants...

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AirdropAutomaton

· 01-12 23:55

Here we go again with this? Political interference in the central bank has been played out in the crypto world for a long time. Honestly, how much longer can the Federal Reserve hold up?

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Blockchainiac

· 01-12 23:53

Here we go again, the independence of the Federal Reserve has long been a joke... People in the crypto circle have all seen through it. Powell's toughness can't compare to Trump's tweets, now the dollar will become even more chaotic. Just wait, when liquidity is in chaos, that's our opportunity. Once the easing expectations are out, the crypto prices will soar directly. The question is, when will that be? The game played by players in the US financial system, we just watch and profit. This is the real power game, more exciting than any project white paper. When political pressure increases, any independence of the central bank is useless.

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DegenApeSurfer

· 01-12 23:48

Basically, it's a game of power. The independence of the central bank is almost gone. Powell probably can't withstand the pressure this time. The crypto market must keep a close eye on every move of the Federal Reserve. Trump's desire for loose policies is nothing more than trying to heat up assets. Could this be an opportunity for us? The Federal Reserve turning into a political tool will eventually lead to problems. Better stock up on stablecoins first. The spirit of the Constitution? It's all a joke in the face of power. Anyway, we have the blockchain.

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MonkeySeeMonkeyDo

· 01-12 23:47

Coming up with this again? If Powell really dared to make independent decisions, he would have been replaced long ago. Don't be naive.

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