Discover the Potential for Bitcoin’s Explosive Growth
The world of cryptocurrency is buzzing with speculation as Bitcoin (BTC) seems ready to break new all-time high records. The looming uncertainty regarding the autonomy of the US Federal Reserve has intensified interest in Bitcoin. Reports suggest that the administration of US President Donald Trump is exploring the possibility of legally replacing Fed Chair Jerome Powell before his term ends in May 2026.
Are New Milestones for Bitcoin on the Horizon?
Bitcoin recently surged past the $90,000 threshold, a level it hadn’t reached since March, fueled by growing macroeconomic instability and emerging tariff concerns. The situation is further complicated by Trump’s pressure on Powell, warning that the US economy could face a slowdown unless interest rates are reduced. Despite these pressures, Powell remains steadfast in his commitment to a data-driven approach aligned with the Federal Reserve’s dual mandate: controlling inflation and achieving maximum employment.
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Inflation concerns have reemerged following Trump’s announcement of potential reciprocal tariffs on international partners. Such measures could stoke inflation, increasing the cost of goods and services in the near to medium term. While Trump recently asserted that there’s “virtually no inflation” in the US, he simultaneously cautioned about a potential economic downturn if interest rates remain unchanged. Interestingly, Powell was appointed by Trump during his initial presidential term in 2016.
In a recent communication, Geoff Kendrick, the Head of Digital Assets at Standard Chartered, emphasized that Trump’s rhetoric might compromise the Fed’s independence—an outcome that could be favorable for Bitcoin. Kendrick noted that Bitcoin serves as a hedge against risks to the prevailing financial system, thanks to its decentralized ledger. He further added:
The yield premium that investors demand for long-term Treasuries over short-term ones has increased significantly, benefiting Bitcoin.
Recent statistics reveal a two-basis-point rise in the 10-year Treasury yield to 4.425%. A sudden increase in long-term Treasury yields is generally considered bearish because it indicates higher borrowing costs and stricter financial conditions, which can hinder economic growth and reduce risk-taking appetite. Earlier this year, Standard Chartered projected that Bitcoin might reach $200,000 by the end of 2025. Bitcoin’s current all-time high of $108,786 was recorded earlier this year on January 20.
Technical Indicators Suggest Bitcoin’s Bullish Momentum
While the uncertainty surrounding the US Federal Reserve’s independence might benefit Bitcoin, technical indicators also suggest a potential rally for the leading cryptocurrency. For instance, the TD Sequential recently indicated a buy signal on Bitcoin’s weekly chart. Meanwhile, prominent investors—often referred to as Bitcoin whales—are unfazed by tariff-related panic, with on-chain data showing ongoing BTC accumulation by these savvy market participants.
Simultaneously, Bitcoin’s network fundamentals are strengthening, with its hashrate recently achieving a new all-time high, highlighting the network’s robustness and security. Adding to the optimism, crypto analyst Master of Crypto recently proposed that Bitcoin might be mirroring gold’s historical “power curve,” with a possibility of reaching as high as $450,000 by the end of 2025. Currently, Bitcoin is trading at $90,957, marking a 3.3% increase over the past 24 hours.
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