THIS COULD LITERALLY SEND BITCOIN TO $250K — Trump’s War on the Fed Might Be the Trigger

May 02, 2025

Bitcoin Hits New All-Time High Of $84,000: What's Next After A 23% Surge?

Last week, things got INTENSE. Trump called Jerome Powell a loser and basically threatened to fire him if he doesn’t start reducing interest rates.

"If I want him out, he'll be out real fast,"

he said.

Yeah, the tension is real.

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But this isn’t just political theater. What’s happening right now could shape the next decade of investing. Especially for Bitcoin holders.

So let’s stop reacting to headlines and start looking at the mechanics.

This feud matters. Not just because it could shake markets, but because if you understand what’s going on, you can position yourself in front of a tidal wave of capital that might be heading toward Bitcoin.

🧰 What This Feud Is Really About

Powell's job is to manage inflation and keep the economy stable. But his biggest tool to do that? Interest rates.

Since 2022, Powell has pushed rates up aggressively. Mortgage rates soared. Credit card debt exploded. Tech stocks fell. Bitcoin took a beating.

Now inflation is cooling, but Powell still isn’t cutting. That frustrates politicians, especially Trump, who wants the economy to feel strong going into 2025.

Trump says Powell is slowing down growth. Powell says he’s trying to keep inflation from roaring back.

But behind all that? It's about control. Control of the most powerful financial lever in the U.S.

💡 Can Trump Really Fire Powell?

No… but maybe yes.

The Fed Chair can only be removed for cause (like serious misconduct), not just because a president disagrees with policy.

But here's the twist:

There's a Supreme Court case this year that might expand presidential power over agencies like the Fed
Trump already has a legal team involved in the case

If the ruling favors Trump, he might be able to legally fire Powell or pressure him to resign. Even if he doesn't, Powell's term ends May 2026. Trump could just wait and replace him.

That’s where it gets interesting.

🕵️ Who Might Replace Powell?

Two names matter:

Kevin Warsh

Ex-Fed Governor
Critical of Powell
Favors lower interest rates

Christopher Waller

Current Fed board member
Trump-appointed
Has openly said rate hikes are done

Both are much more "dovish" than Powell. That means they would likely:

Cut rates faster
Bring back QE (money printing)
Ease financial conditions

That’s Bitcoin rocket fuel.

🚀 Why Bitcoin Rallies on Rate Cuts

Let’s get specific here. When the Fed cuts rates or prints money:

The dollar weakens
Stocks and risk assets go up
Capital chases returns
Bitcoin becomes more attractive as a hedge against inflation

We’ve seen this before:

2020-2021: Fed printed $5 trillion — Bitcoin went from $5K to $69K
2023: Just talk of rate cuts — Bitcoin rallied from $16K to $73K

A Trump win + a new Fed Chair + faster easing = perfect storm for Bitcoin.

🧵 So How Do You Prepare for It?

Let’s break this down step-by-step. If you want to benefit from this macro setup, here’s what to do:

1. Understand Timing

This is not instant. Trump can’t do anything until 2025. Powell’s term ends in 2026. That gives you time to position properly.

Action: Think in 6-18 month timeframes. Don’t FOMO into pumps — accumulate smartly.

2. Front-run the Narrative

Markets move before the actual event. If Trump leads in polls, markets will start pricing in Fed changes months in advance.

Action: Track polls, legal news, and Powell commentary. Buy dips during uncertainty.

3. Stack Hard Assets

If rates are going down, you want to hold assets that benefit when the dollar weakens.

Action:

Stack Bitcoin (DCA weekly or monthly)
Add a little Ethereum or risk assets if you’re comfortable
Avoid cash-heavy positions

4. Watch the Bond Market

The bond market often knows what's coming before anyone else.

Action:

Follow the 2-year yield (if it drops, cuts are likely)
Track inverted yield curves (a sign of trouble)
Look for steepening as a bullish signal

5. Use Volatility to Your Advantage

A Fed Chair firing would be chaotic. Markets might dump before they pump.

Action: Set limit orders below current price. Buy fear, not greed.

6. Don’t Overexpose

If you're all-in on one scenario, you're fragile.

Action: Have cash for dips. Hedge with a small gold or T-bill position if you need peace of mind.

🤔 What If Trump Doesn’t Win?

Good question.

Even if Biden stays in office, Powell’s term still ends in 2026. And guess what? Biden might also pick someone more dovish.

Why?

Rising debt costs
Slowing economy
2026 elections coming up

No matter who wins, the system can’t afford high interest rates forever.

That’s bullish for Bitcoin.

🔍 What Most Investors Are Missing

Most people are reacting to headlines.

"Trump yells at Powell!"
"Inflation up 0.1%!"

But real investors look deeper.

This fight is about the future of money policy. If Powell is out and someone like Warsh or Waller is in, we’re going back to:

Cheap money
Big spending
Dollar dilution

You can either ride that wave with Bitcoin… or get left behind holding cash that loses value.

✅ Final Strategy Checklist

✅ Track Trump polling + legal wins

✅ Watch 2Y yields and Fed language

✅ Set DCA buys for BTC every week

✅ Prepare limit orders in case of a market dip on chaos

✅ Follow Bitcoin ETF inflows — big money will move early

✅ Don’t trade on emotion — play the long game

This isn’t about Trump vs. Powell. It’s about whether you understand how policy shapes asset flows.

Bitcoin isn’t just some tech gamble anymore. It’s becoming a macro asset. And right now, the macro winds are shifting.

Are you positioned ahead of the next big move?

Let me know your thoughts. And if you want to go deeper on how Bitcoin is outpacing gold in this new market cycle, check out my latest premium post here: [link to Gold vs BTC article]

THIS COULD LITERALLY SEND BITCOIN TO $250K — Trump’s War on the Fed Might Be the Trigger