U.S. President Donald Trump is considering Lael Brainard as a candidate for the position of Chair of the Federal Reserve, expressing satisfaction with her current role as Secretary of the Treasury, according to BlockBeats News on July 16.
Replacing Jerome Powell with Brainard could fuel speculation about changes in U.S. monetary policy. In the past, when Fed leadership anticipated dovish trends, financial and cryptocurrency markets had to adjust to the possibility of interest rate cuts.
Trump, The Change of Fed Chair and Its Impact on the Market
Trump has publicly discussed replacing current Fed Chair Jerome Powell, stating that he wants a more dovish monetary policy. Brainard, former Vice Chair of the Federal Reserve, is recognized for her management expertise.
Speculation about a change in interest rate policy arises as Trump supports Brainard, who is known for advocating regulatory measures. This aligns with investor expectations for potential interest rate cuts, affecting market sentiment.
“I am actively considering replacing Jerome Powell and Lael Brainard has been nominated as a candidate for the next Fed chair,” said Donald Trump, President of the United States.
Historical Impact on Bitcoin and Financial Sectors
Did you know? When Fed leadership changes suggest dovish policies, historical trends show an increase in risk asset bull markets, reinforcing cryptocurrencies like Bitcoin and Ethereum.
As of July 16, 2025, Bitcoin (BTC) is trading at $117,515.72 with a market capitalization of $2.34 trillion, marking a 39.88% increase over 90 days. Its market dominance reached 62.83%, according to CoinMarketCap. The circulating supply is 19.89 million out of a maximum supply of 21 million.
Expert analysts emphasize that potential changes in Fed leadership could impact the financial and technology sectors. A dovish trajectory could encourage more cryptocurrency investment, while regulatory outcomes could shape technology adoption in financial institutions.
