Jerome Powell is approaching the exit, but he remains upright, almost stiff, in the face of persistent political pressures. Donald Trump's repeated attacks slide over him like a well-tempered armor. At the head of the FED, the man maintains a cold, almost clinical course, without ever deviating. Meanwhile, the crypto market watches, cashes in and doubts, facing an institution that never shakes.
In brief
- The FED maintains its rates between 3.5% and 3.75% for the third time.
- Bitcoin and Ethereum fell after the announcement, penalized by still very constrained liquidity.
- Expensive oil boosts inflation and complicates any rapid cut in U.S. rates.
- Powell defends the independence of the FED in the face of political pressure from Donald Trump.
The FED locks in liquidity and suddenly cools the crypto market
The FED kept its rates between 3.5% and 3.75%, for the third time this year in a row. This decision by the FOMC, expected but significant, confirms a cautious strategy in the face of persistent inflationary pressures. Indeed, the institution is navigating in an unstable environment marked by the sudden rise in global energy prices.
The internal vote reveals a rare divide within the FED, almost worrying for informed observers. Eleven members support the status quowhile Stephen Miran calls for an immediate rate cut. Three other governors refuse to endorse an accommodating bias, revealing a division not seen in several decades.
This blockage acts like a vice-like grip on the crypto market, still dependent on overall liquidity. Bitcoin is retreating towards $75,100, while Ethereum is slipping below $2,300 quickly. Crypto investors then understand a simple reality: the FED will not release the pressure.
Bitcoin and Ethereum trapped by macro mechanics gone out of control
The crypto market is not falling alone, it is experiencing a global environment that has become brutal and unpredictable. The war in the Middle East is disrupting the Strait of Hormuz, a strategic passage for nearly 20% of the world's oil. This energy tension is reviving inflation that the FED thought it had gradually contained.
The average price of gasoline has reached $4.22, compared to $2.99 before the initial Iranian conflict. This sudden increase prevents any rapid drop in rates, maintaining constant pressure on risky assets. Crypto traders now operate in a tense, almost hostile environment, where every macro decision counts.
Developments in the Middle East contribute to a high level of uncertainty regarding the economic outlook. Inflation is high, partly reflecting the recent rise in global energy prices.
Federal Reserve / FOMC statement, source: Decrypt
Thus, Bitcoin and Ethereum are not falling alone, they are experiencing dominant macro pressure.
Last act under tension: Powell leaves a divided but inflexible FED
Jerome Powell is approaching the exit, but he leaves behind a FED under constant tension. His term ends on May 15 in a particularly charged and unstable political climate. The institution was attacked head-on, criticized relentlessly, but it never gave in on its fundamental principles.
Powell insists on a central point: monetary independence remains a non-negotiable red line. He refuses any direct political influence in the decisions of the FED, despite repeated pressure. This rigid posture forges its legacy, austere but coherent in an environment that has become conflictual.
It is so important for the economy, for the people we serve, that they can count, over time, on a central bank that functions like this, free from any political influence. This is part of the absolute foundation of this extraordinary economy that we have. Jerome Powell, source: Fox Business
The figures which reflect the current tension
- The FED maintains its rates between 3.5% and 3.75% in April 2026, without giving an inch;
- BTC price stands at $75,617, while ETH price hits $2,238;
- American inflation now oscillates between 3.3% and 3.6%, under the direct effect of energy;
- A gallon of gasoline climbs to $4.22, an immediate reflection of persistent geopolitical tensions;
- The FED continues a third consecutive monetary status quo this year, a sign of an assumed blockage.
The FED leaves this fragile sequence without a clear victory, but without giving in to pressure.
Even for Kevin Warsh, the terrain promises to be unstable and already politically charged. Even before he took office, tensions were building around his appointment. The future president will have to move forward in an uncertain climate, where every decision will be scrutinized, contested and sometimes exploited by political actors.
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