Bitcoin May Rise if Trump Fires Powell Amid U.S. Dollar Weakness

The U.S. dollar has reached three-year lows, creating a shift towards assets like bitcoin and stablecoins. This trend may accelerate if former President Trump follows through on plans to dismiss Federal Reserve Chairman Jerome Powell, which have contributed to declines in the DXY and U.S. stock markets.

Key Points

Trump has publicly criticized Powell, claiming he is slow to respond to economic needs.
Recent comments from Trump suggest a desire for immediate interest rate cuts despite ongoing inflation concerns.
Turkey's experience with currency collapse due to central bank interference serves as a warning about investor confidence erosion.
The Turkish lira has depreciated significantly since 2019, driven by political meddling in monetary policy.
As of 2025, Turkey's inflation rate is nearly 40%, highlighting the consequences of poor fiscal management.
If U.S. investors lose confidence in the dollar, there may be increased movement toward bitcoin and alternative investments.

This situation reflects potential risks for the USD, especially given its status as a global reserve currency.