Bitcoin (BTC) was walking in the water just below $ 85,000 Thursday evening while the tensions between US President Donald Trump and the president of the Federal Reserve Jerome Powell added another layer of uncertainty for investors.
The markets plunged on Wednesday after the Bellician comments of Powell, which criticized Trump’s pricing policy, saying that this would probably lead to a slowdown in the economy and an increase in prices – which economists call “stagflation”. In his remarks, Powell has clearly indicated that his more important goal for the moment would be on prices, which suggests a stricter Fed policy than we thought otherwise.
Trump – who appointed the former investment banker and lawyer as president of the Fed during his first mandate (Powell received a second four -year term by President Biden) – expressed his dissatisfaction with Powell since his retirement from the White House. Powell, however, which should remain at the top of the central bank until May 2026, said his determination several times to complete his mandate and suggested that the president had no position to dismiss him.
The WSJ reported on Thursday that Trump has discussed Powell’s dismissal for months, according to people familiar with the issue. The former Fed governor, Kevin Warsh, would wait behind the scenes to replace Powell, but Warsh put pressure on the president so as not to move against the Fed chair, in history.
Scott Bessent, who said that this decision, could take a tour of the American American markets, because the central bank, is supposed to join Warsh, in this warning, is a warning.
The chances of withdrawing Powell from Trump this year on the prediction market based on the Polymarket blockchain have increased to 19%, the highest reading since the launch of the contract at the end of January.
Trump’s comments occurred at the rear of the European Central Bank (ECB), reducing key interest rates on Thursday for the seventh consecutive opportunity, while he has warned against a deterioration in growth prospects.
More pressure on the markets came from the last manufacturing index of the Philadelphia Fed, published Thursday morning, which showed a nose activity this month, going to its lowest level (-26.4) in two years. Meanwhile, the price index paid has climbed to its highest reading since July 2022, adding to the concerns about the Trump administration’s pricing policy which pushes the US economy in stagflation.
The NASDAQ S&P 500 grant indices and technology have been negotiated mainly during the day.
An overview of the cryptography market has shown that BTC and ETHA of ETH increased by 0.8% in the last 24 hours. Most of the active ingredients in the Coindesk 20 index have negotiated during the day, with Bitcoin Cash (BCH), peak earnings and Aave.
How do Bitcoin traders position themselves in the middle of an increased fear of Wall Street?
Bitcoin stabilized between $ 83,000 and $ 86,000, traders hunting up bruising bets while looking for downward protection.
In a derived, traders actively pursue calls for $ 90k at $ 100,000 strikes expired in May and June, said market update on Thursday. The request for calls indicates the expectations of a continuous price rally.
Some of these bullish bets were funded by bonuses collected by selling sales options.
At the same time, there was a renewed interest in the purchase of put options at $ 80,000 this month, representing preparations for dropping potential prices. The purchase of a sale option is similar to the purchase of insurance against price slides.
The diversified bidirectional flow occurs while the VIX, the gauge of fear of Wall Street, measuring the implicit volatility of 30 days, remains well above its 50 days, despite the withdrawal of recent summits greater than 50.
The VIX warns that the macro situation is always disentangled rather than solving, said the exchange on X.
