Powell Faces Congress Investigation as Trump Calls for Immediate Resignation

• Powell faces resignation demands from Trump over allegedly false testimony about Fed headquarters renovation costs, but legal protections make his removal unlikely before 2026.

• Bitcoin surged past $108,432 as Federal Reserve turmoil drove investors toward alternative assets to hedge against central banking instability.

• XRP maintained stability at $2.30 despite regulatory challenges and shows growing institutional interest in blockchain-based payment systems.

Jerome Powell faces mounting pressure to step down from his role as Federal Reserve Chair following explosive allegations about his congressional testimony. President Trump renewed his campaign against Powell, demanding his immediate departure after accusations surfaced regarding misleading statements made by lawmakers.

The controversy centers on Powell’s Senate Banking Committee appearance, where he discussed renovation expenses for the Federal Reserve’s headquarters building. Federal Housing Finance Agency Director Bill Pulte has accused the Fed Chair of providing false information about the multi-billion-dollar project costs.

Trump has capitalized on these allegations to intensify his criticism of Powell’s monetary policy decisions. The President argues that Powell’s reluctance to implement aggressive interest rate reductions demonstrates poor judgment and political bias within the Federal Reserve system.

Powell’s Legal Protection Against Presidential Pressure

Despite Trump’s demands, Powell maintains significant legal protections preventing immediate removal. The Fed Chair’s appointment extends through 2026, providing institutional independence from presidential interference. Legal scholars emphasize that federal law requires substantial cause for dismissal.

The standoff highlights fundamental tensions between executive authority and Federal Reserve autonomy. Powell has consistently defended the central bank’s independence while facing criticism over his measured approach to monetary policy adjustments.

Powell’s position appears secure despite political pressure. The Federal Reserve’s structure intentionally insulates monetary policy decisions from short-term political considerations, though this protection faces unprecedented testing.

Cryptocurrency Markets React to Federal Reserve Turmoil

Crypto markets have experienced significant movement amid the Powell controversy. Bitcoin trades at $108,432  as investors sought refuge from traditional financial uncertainty. During institutional conflicts, the cryptocurrency’s performance reflects growing confidence in alternative monetary systems.

Bitcoin’s rally demonstrates its emerging role as a hedge against central banking instability. Traders view the Federal Reserve discord as validation of decentralized financial networks. The digital currency’s price action suggests institutional money flows into crypto during periods of monetary policy uncertainty.

XRP has maintained relative stability around $2.30 despite broader market volatility. Ripple’s token faces unique challenges from regulatory scrutiny, though some analysts suggest Fed independence battles could benefit alternative payment systems. The token’s resilience indicates growing institutional interest in blockchain-based financial infrastructure.

The cryptocurrency sector’s response reveals evolving investor sentiment toward digital assets. Both Bitcoin and XRP demonstrate increasing correlation with traditional financial stress indicators, suggesting the maturation of crypto markets as legitimate portfolio diversification tools.