$ETH $JOJO

The personnel changes at the Federal Reserve Chair are becoming the hottest topic on Wall Street. Recently, Trump announced that he will look for a new Federal Reserve Chair in the coming weeks. As soon as this news broke, market tension instantly heightened.

According to Trump's statements, he favors finding a new Chair who supports rate cuts. This sounds good, but investors know that things are not that simple. The real issue is—if political forces start to interfere with the central bank's decisions, the independence of the Federal Reserve will be weakened. Analysts generally warn that excessive interference could trigger a chain reaction in the economy and markets. Especially in a context where the economy has not yet shown clear signs of recession, hasty aggressive rate cuts could instead push up long-term yields, further impacting the stock and bond markets.

The current Chair Powell's term will not expire until May next year, but the market has already been calculating the probabilities. Trump has already controlled three seats on the Federal Reserve Board, and in the coming months, he is likely to change the central bank's power structure by appointing more directors. Once this "personnel adjustment" succeeds, the policy direction of the Federal Reserve will face a fundamental shift, which means a lot for global financial markets.

The change in the interest rate environment itself is complex enough. If there are greater disagreements within the Federal Reserve, U.S. Treasury yields could fluctuate dramatically. Investors are already expecting further rate cuts next year, but policy uncertainty is pushing the market into unfamiliar territory. For the crypto market, this macro risk evolution is even more directly impactful—fund flows, risk sentiment, all are quietly changing.