📢 RESIGNATION AT THE FED: WHAT DOES THIS CHANGE FOR THE CRYPTO MARKET?
A behind-the-scenes news can cause waves in the market in the coming days.
Governor Adriana Kugler, one of the most balanced voices at the FED, RESIGNED from her position before the end of her term.
Adriana Kugler submitted her official resignation to the FED on 1/August/25, as per the public statement available on the FED's own website:
📄 Official source
Federal Reserve: Letter of Resignation from Adriana Kugler 01/08/2025
This opens the door for Trump to appoint a NEW member to the board this year, reinforcing his influence over the FED.
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📉 Why does this matter?
Because the FED is responsible for the interest rate policy of the US, and any change in its composition directly affects liquidity, risk, and appetite for assets like BTC.
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🧩 WHAT'S AT STAKE?
🔹 Kugler was considered cautious, with a focus on employment and stability.
🔹 Her departure allows Trump to appoint someone more favorable to aggressive interest rate cuts.
🔹 This could weaken the independence of the FED, something the market views with much distrust and concern.
🔹 At the same time, lower interest rates mean more money circulating… and this usually benefits the cryptocurrency market.
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🪙 AND BTC?
The $BTC has already started to react with slight optimism.
The market is pricing in the possibility that, with a FED more inclined to reduce rates, money will flow more strongly into risk assets like cryptocurrencies and stocks.
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But ATTENTION:
📌 If the move is seen as direct political interference, it could generate institutional instability, which drives away investors and creates volatility.
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🧠 WHAT WE NEED TO UNDERSTAND:
1. Strategic resignation?
Kugler's departure happens at a key moment, as Trump seeks to reconfigure the economic landscape.
2. Pressure on Powell increases:
Trump has already signaled that he does not support high-interest rate policies.
3. Crypto could benefit… or suffer???
It depends on how the market interprets the new composition: healthy stimulus or interference.