Trump picks Kevin Warsh for Fed chair, bitcoin drops

Crypto fell on potential Fed pick Warsh; his mentor advises markets took the news wrong.

  • Risk markets, including cryptocurrency, fell sharply following reports of Kevin Warsh’s potential nomination for Federal Reserve Chairman.
  • Billionaire investor Stanley Druckenmiller refutes the notion that Warsh is strictly hawkish, stating he’s seen him “go both ways.”
  • Druckenmiller highlights the ideal partnership between Warsh and prospective Treasury Secretary Scott Bessent, both of whom are his close associates.

Markets reacted with immediate volatility to a leaked report that former Fed Governor Kevin Warsh is President Trump’s choice to lead the Federal Reserve. Consequently, cryptocurrency prices tumbled, with Bitcoin briefly falling back to $81,000 on the news. However, Stanley Druckenmiller, a billionaire investor and close mentor to Warsh, challenged the prevailing market narrative in an interview with the FT on Friday.

- Advertisement -

“The branding of Kevin as someone who’s always hawkish is not correct,” stated Druckenmiller. “I’ve seen him go both ways.” Druckenmiller, who has employed Warsh at his Duquesne Capital Management since 2011, speaks with him constantly. Meanwhile, Druckenmiller also has deep ties to Scott Bessent, Trump’s reported pick for Treasury Secretary, having hired him decades ago at the Quantum Fund.

This unique relationship triangle is seen as a major policy advantage. “I’m really excited about the partnership between [Warsh] and Bessent,” Druckenmiller said. He emphasized that an accord between the nation’s top monetary and fiscal officials is ideal for market stability. Their shared philosophy, shaped by Druckenmiller, was detailed in a Financial Times profile last year.

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest News

Crypto trader loses $50M in swap, gets only 324 tokens

A crypto trader executing a $50 million swap for AAVE tokens on Cow Swap...

Struggling Bitcoin Miners May Pivot to AI: Wintermute

Diminishing returns from Bitcoin mining are forcing miners to explore new revenue avenues, such...

Global Botnet SocksEscort Dismantled by FBI, Europol

An international law enforcement operation called Operation Lightning has dismantled the SocksEscort proxy service,...

US Gas Prices Hit 2-Year High as Iran Conflict Shuts Key Oil Route

The U.S. national average gas price has surged to $3.60 per gallon, a 20%...

Adobe CEO Steps Down Amid AI-Driven Leadership Shifts

Adobe CEO Shantanu Narayen is stepping down as the company intensifies its generative AI...

Must Read

Top 10 Best Blockchain Games

If you want to know about the best blockchain games then read this article carefully. We listed the best games you can play and...