Trump might fire Fed Chair Powell

Trump’s push to fire Fed Chair Powell is shaking markets — and Bitcoin just posted its biggest rally since “Liberation Day.” Meanwhile, Ethereum’s leadership shuffle resets priorities, Solana gains serious ground in DeFi, and gold smashes past $3,399/oz for the 55th ATH this year.

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Cryptopolitan News
April 21, 2025 • Estimated Reading Time: 9 minutes

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📬 Today’s Byte

• Bitcoin spikes as Trump threatens to fire Powell

• Vitalik shifts gears as Ethereum Foundation pivots to scaling and UX

• Solana’s L1 strategy vs Ethereum’s L2 vision

• Gold touches $3,399 as Dollar tanks

Market-moving headlines 🔥

China hit back at the White House on Monday by announcing sanctions on U.S. lawmakers, government officials, and heads of non-governmental organizations, saying the decision came in direct response to Washington’s latest action over Hong Kong.

US President Donald Trump continues to pile pressure on Federal Reserve Chair Jerome Powell to cut interest rates. Much like his sentiments before he entered the Oval Office on January 20, he has threatened to push Powell out of his seat at the central bank table. 

Pi Network has unveiled its long-anticipated Mainnet Migration Roadmap. The initial rollout will see millions of users—called Pioneers—transition to the open network. The plan also introduces new incentives, including referral bonuses for verified users.

Chinese state-backed funds are retreating from investments in US private equity, according to several executives and individuals familiar with the matter.

🧨 Bitcoin spikes as Trump threatens to fire Powell

“Too Late” Jerome faces the heat — and markets feel the burn

Bitcoin surged 3% to $87,600, marking its highest level since “Liberation Day,” after Donald Trump hinted at firing Federal Reserve Chair Jerome Powell. The move sent shockwaves through global markets, crushed the dollar, and reignited safe-haven flows into crypto and gold.

Source: Bloomberg

Kevin Hassett, head of the National Economic Council, confirmed Friday that Trump is actively exploring legal avenues to remove Powell — raising fears about Fed independence and throwing equities into chaos.

📉 U.S. markets responded swiftly:

  • S&P 500 futures fell 0.79%

  • Nasdaq-100 dropped 0.82%

  • Dow Jones plunged 318 points

  • Gold hit a new all-time high

The rally in Bitcoin erased nearly all the damage from Trump’s tariff escalation on April 2. As the dollar tumbled and traditional markets sold off, capital rotated back into crypto — with Bitcoin leading the charge.

❝

Too Late should have lowered Interest Rates long ago... Powell’s termination cannot come fast enough!

Trump on Truth Social

Volatility in equities was compounded by brutal earnings from UnitedHealth and Nvidia, both of which dragged major indices down. Meanwhile, Bitcoin and gold emerged as the only real winners in a week marked by economic instability and political theater.

🧠 Vitalik shifts gears as Ethereum Foundation pivots to scaling and UX

EF reshuffles leadership, puts Buterin back in deep research mode

The Ethereum Foundation just shook things up — and it’s all about focus.

Tomasz K. Stańczak has been named co-executive director, and his first major move? Free up Vitalik Buterin to dive deep into research. That means less operational load and more moonshot ideas.

❝

Each time Vitalik shares insights or communicates a direction, he accelerates major long‑term breakthroughs

Stańczak on X

The Foundation is now laser-focused on:

  • Layer 1 scaling

  • Layer 2 support

  • Massive UX improvements, including interoperability

Upgrades like Pectra, Fusaka, and Glamsterdam are now front and center. The goal? Shorten timelines on long-haul innovations and get more experimental work to production faster.

Stańczak also emphasized that Vitalik’s ideas — like those on RISC‑V, zkVMs, and privacy — are meant to provoke exploration, not dictate outcomes. The EF wants more researchers to operate with that same freedom.

🧵 X reacts:

  • “This is the type of awesome leader communication we need.”

  • “Finally, clarity from EF — hope this momentum lasts.”

  • “Still lacking on community building and education.”

Some praised the transparency. Others called for more concrete action — especially around ecosystem growth and real-world adoption.

Either way, it feels like the EF is finally listening.

👉 Curious about the leadership shuffle, Vitalik’s next move, and how this impacts Ethereum’s future? Catch the full story on Cryptopolitan

🧠 Solana’s L1 strategy vs Ethereum’s L2 vision

In a recent post — Uniswap founder Hayden Adams that Ethereum’s heavy focus on Layer 2 scaling could be its undoing in DeFi. 

According to him Solana’s streamlined and cost-effective Layer 1 is better suited for DeFi protocols—especially in the short term.

BSC and SOL gain volume while Ethereum suffers, Source: DefiLlama

Ethereum has committed to a modular, rollup-centric roadmap for years. But that vision is being tested. 

Platforms like Raydium are overtaking Uniswap in 30-day volumes, while developers like Max Resnick are defecting to Solana, frustrated with Ethereum’s pace and process.

Solana’s design—fast, cheap, and built for high-throughput—is winning traction. Recent catalysts like a Solana ETF launch in Canada and growing staking deposits have pushed its price above $135.

Adams says a pivot to L1 scaling on Ethereum is only worth considering if it’s intentional, realistic, and doesn’t compromise decentralization. Until then, he’s doubling down on Ethereum’s L2-first path—but the market momentum is signaling that time may not be on their side.

🥇Gold touches $3,399 as Dollar tanks

Source: TradingView

Gold surged to an all-time high this week, with spot prices hitting $3,389/oz and U.S. gold futures touching $3,399. It’s the 55th time in the past year that gold has set a new high — and this rally looks far from over.

A weakening U.S. dollar, rising geopolitical risk, and central banks loading up on bullion. And for the first time in years, the narratives of gold and Bitcoin are aligning — signaling a major shift in investor sentiment.

What’s driving the rally:

  • Dollar index (DXY) dropped to a 3-year low, boosting gold’s appeal globally

  • Gold has outperformed the S&P 500 since 2020 — up 100% vs. 86%

  • Trump's “non-tariff cheating” list has stirred up fresh geopolitical concern

  • Central banks continue to accumulate gold at record levels

  • Silver rose to $32.66/oz, while platinum and palladium held steady

  • Bitcoin is gaining momentum alongside gold as the dollar weakens

Gold clearing $3,400 could mark the start of an even bigger breakout. With macro jitters mounting, investors are looking for stability — and bullion is back in the spotlight.

🧵 Thread of the day

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