Democrat Senator Elizabeth Warren of Massachusetts says that the US markets will witness another meltdown if Fed Chair Jerome Powell loses his job because of President Trump.

In a new interview on CNBC Squawk Box, Warren says that it would be disastrous for US markets if Trump somehow manages to force Powell out.

“If Chairman Powell can be fired by the president of the United States, it would crash the markets in the United States. The infrastructure that keeps this stock market strong and therefore a big part of our economy strong, and therefore a big part of the world economy strong, is the idea that the big pieces move independent of the politics, that somebody is making their best decisions economically and independently.

We understand that if the New York Stock Exchange, if interest rates in the United States are subject to a president who just wants to wave his magic wand, this doesn’t distinguish us from any other two-bit dictatorship around the world where everyone knows what your really big investment risk is will that dictator wake up in the morning and have a tummy ache and decide to cause this problem, or favor that friend?

That’s why we need to strengthen the infrastructure.”

Recently, Reuters reported that Trump is “studying” to see if he can fire Powell, who has served as the Fed Chair since 2018 and was appointed by Trump during his first term. Despite being Trump’s appointee, Powell’s relationship with Trump has been strained as of late due to conflicts in interest rate outlook.

Trump wants the Fed to immediately cut interest rates, but Powell has determined that the right course of action is to be patient and keep rates steady.

Follow us on X, Facebook and Telegram

Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox

Check Price Action

Surf The Daily Hodl Mix

&nbsp

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: Midjourney

TRUMP, the memecoin tied to U.S. President Donald Trump, gained more than 9% in the past 24 hours following a $320 million token unlock. The price now sits around $8.40, still down more than 88% from its peak above $71 on Jan. 18.

The recent unlock may spell further trouble for investors, who are estimated to have lost a total of $2 billion after purchasing the token earlier this year.

Token unlocks typically flood the market with new supply and tend to depress prices. But in this case, the market appears to have priced in the release beforehand, potentially explaining the price uptick. Still, the $320 million unlock raises the risk of a large sell-off, especially given TRUMP’s thin liquidity.

Data from CoinMarketCap shows that just $1.3 million could move the token’s price by 2% on major exchanges. The move also comes during the Easter holiday weekend, when trading volumes are subdued and price swings can be more pronounced.

On social media, rumors are swirling about a possible event for large token holders, supposedly being organized by Trump himself. These claims remain unverified and highly speculative.

Data from Dune analytics shows there are currently 636,000 TRUMP token holders on-chain, with just 12,285 wallets having more than $1,000 worth of the cryptocurrency.

Bitcoin (BTC) was treading water just below $85,000 late Thursday as tensions between U.S. President Donald Trump and Federal Reserve Chair Jerome Powell added another layer of uncertainty for investors.

Markets dipped on Wednesday after hawkish comments from Powell, who criticized Trump’s tariffs policy, saying that it would likely result in a slowing economy and rising prices — what economists call “stagflation.” In his remarks, Powell made clear his larger focus for now would be on prices, suggesting tighter Fed policy than otherwise thought.

Trump — who nominated the former investment banker and lawyer as Fed chair during his first term (Powell was given a second four-year term by President Biden) — has expressed his displeasure with Powell since retaking the White House. Powell, though, who is set to remain atop the central bank until May 2026, has repeatedly stated his determination to finish his term and suggested the president has no standing to fire him.

On Thursday, the WSJ reported that Trump has been privately discussing firing Powell for months, according to people familiar with the matter. Former Fed Governor Kevin Warsh is reportedly waiting in the wings as Powell’s replacement, but Warsh has lobbied the president not to move against the Fed chair, according to the story.

Joining Warsh in that warning is Treasury Secretary Scott Bessent, who said the move could roil already shaky U.S. markets as the central bank is supposed to be independent from political influences.

Odds of Trump removing Powell this year on the blockchain-based prediction market Polymarket rose to 19%, the highest reading since the contract’s late January launch.

Trump’s comments came on the back of the European Central Bank (ECB) cutting key interest rates for the seventh consecutive occasion on Thursday as it warned of a deteriorating growth outlook.

More pressure on markets came from the latest Philadelphia Fed manufacturing index, published Thursday morning, which showed a nosedive in activity this month, sinking to its lowest level (-26.4) in two years. Meanwhile, the prices paid index climbed to its highest reading since July 2022, adding to concerns about the Trump administration’s large-scale tariff policy pushing the U.S. economy into stagflation.

The S&P 500 and tech-heavy Nasdaq stock indexes traded mostly flat during the day.

A look at the crypto market showed BTC and Ethereum’s ETH up 0.8% over the past 24 hours. Most assets in the CoinDesk 20 Index traded higher during the day, with bitcoin cash (BCH), NEAR and AAVE leading gains.

How bitcoin traders position amid heightened fear on Wall Street ?

Bitcoin has stabilized between $83k and $86k with traders chasing bullish bets while still seeking downside protection.

On Deribit, traders are actively chasing calls at the 90k to $100k strikes expiring in May and June, the exchange said in a market update Thursday. The demand for calls indicates expectations for a continued price rally.

Some of these bullish bets have been funded by premiums collected by selling put options.

At the same time, there has been renewed interest in buying put options at $80k expiring this month, representing preparations for potential price declines. Buying a put option is akin to purchasing insurance against price slides.

The diverse two-way flow comes as the VIX, Wall Street’s fear gauge measuring the 30-day implied volatility, still remains well above its 50-day average, despite the pullback from recent highs above 50.

The VIX is warning that the macro situation is still unraveling rather than resolving, the exchange said on X.