Bitcoin rallied to its highest level since early April, climbing nearly 3% to surpass $87,600 on Monday morning. The surge came amid renewed pressure on the U.S. dollar, fueled by President Donald Trump’s intensified attacks on Federal Reserve Chair Jerome Powell.
Trump’s recent comments — including that Powell “will be out if I want him out” and that he is “not happy with him” — have reignited fears of political interference in monetary policy. The resulting decline in confidence in the Fed’s independence has weakened the dollar and boosted demand for assets outside the traditional financial system.
The U.S. Dollar Index (DXY) extended losses, while Bitcoin and gold gained momentum as investors looked for hedges against dollar depreciation.
Meanwhile, gold soared to a record $3,370.17 per ounce, notching a 26% gain year-to-date, further signalling investor anxiety about currency stability and central bank credibility.
Global equity markets also felt the tremors:
- S&P 500 futures fell 0.75%
- Nasdaq futures dropped 0.8%
- Japan’s Nikkei and Taiwan’s benchmark lost over 1%
Trump’s ongoing trade war, tariff shifts, and monetary criticism have created a volatile backdrop. Investors are now closely watching whether Powell will stay the course on interest rates or yield to mounting political pressure — a move that could reshape the global risk landscape.
