XRP and Bitcoin experienced sudden price surges amid market speculation about the potential ousting of Federal Reserve Chair Jerome Powell. XRP briefly crossed the $3 threshold during the volatile trading period, reflecting heightened sensitivity to possible shifts in monetary policy leadership.
Cryptocurrency markets reacted to political rumors suggesting a new Federal Reserve chair might adopt more accommodative policies. Investors foreseeing increased liquidity under alternative leadership propelled risk assets upward, resulting in notable volatility across digital asset markets.
Financial commentator Mike Novogratz criticized calls for Powell’s termination, calling Federal Reserve independence critical for economic stability. He simultaneously urged market participants to maintain confidence in Bitcoin as a resilient asset class during times of political uncertainty.
The rumors triggered divergent reactions across broader financial markets, impacting major indices including the S&P 500. This episode demonstrates how cryptocurrencies are increasingly reactive to central bank leadership dynamics and expectations of monetary policy changes.