Trump’s Fed Takeover May Boost Bitcoin and Gold Prices

A crypto commentator, @plur_daddy, suggests that Bitcoin (BTC) and gold could benefit from a policy shift as ex-President Trump seeks more control over US monetary policy. This move could increase liquidity, weaken the dollar, and prompt institutional investment in alternative value stores.

Global debates on using Russia's reserves for Ukraine loans coincide with gold nearing record highs.
The commentator believes Trump's Fed influence might lead to rate cuts and yield curve control, diminishing USD value.
Bitcoin is seen as reflecting liquidity conditions rather than its traditional halving cycle.
Fed Chair Jerome Powell denies political actions despite public scrutiny and pressure.
A suggested pathway involves lowering mortgage rates via Fannie Mae and Freddie Mac without expanding central bank balance sheets directly.
This approach aligns with political incentives ahead of US midterms, yet poses inflation risks.
Bitcoin's sensitivity to liquidity changes is highlighted, especially concerning the Treasury General Account's fluctuations.
Europe's stance on Russia's frozen assets supports crypto's rationale, posing potential financial consequences.
Gold's recent performance supports the store-of-value argument, projected to rise further if central-bank buying continues.

Notable traders agree with the thesis, predicting Bitcoin's next upward leg within six months. At publication, BTC trades at $113,121.

Bitcoin price