Trump Administration Nears Decision: Four Candidates in Race for Fed Chair

The nomination of a new Fed chair by US President Donald Trump is imminent. Treasury Secretary Scott Bessent indicated to CNBC that the decision could be made as early as next week. Jerome Powell, who is stepping down in May, had repeatedly clashed with Trump over interest rate policy.

On the prediction market Polymarket, Kevin Warsh currently leads with 49 percent. The former Fed governor is considered a critic of current monetary policy and advocates for balance sheet reduction rather than new liquidity measures – a scenario that would be associated with higher volatility for Bitcoin and other cryptocurrencies.

BlackRock manager Rick Rieder is gaining momentum following a positive meeting with Trump. As the only candidate from the private sector, he is considered to have consensus appeal in the Senate and represents a pragmatic approach.

Fed Governor Christopher Waller, who has advocated for interest rate cuts, stands at 13 percent. Kevin Hassett, originally the favorite, has fallen back to nine percent after Trump expressed his preference to keep him on the National Economic Council.

The selection of the new Fed chair could have significant implications for monetary policy and consequently for the crypto market – depending on whether a looser or stricter approach is pursued.