Bitcoin News Today: Trump Narrows Fed Chair Search to 3-4 Finalists Ahead of 2026 Term

The Trump administration has intensified efforts to identify a successor to Federal Reserve Chair Jerome Powell, with reports indicating that the initial pool of 11 potential candidates has been narrowed to three or four finalists. President Donald Trump has taken an active role in the selection process, confirming that the decision is expected to be made “a little bit early,” ahead of Powell’s current term, which is set to expire in May 2026 [3]. Among the candidates under consideration are David Zervos of Jefferies and Rick Rieder, who were previously undisclosed [1]. Zervos has seen increased odds of receiving the nomination on prediction markets like Kalshi, suggesting growing confidence in his potential appointment [5].

The administration’s broader search initially included up to 11 candidates, reflecting a deliberate effort to find someone with a balanced mix of private-sector and central banking experience [1]. Treasury Secretary Warren Bessent has been closely involved in the process, emphasizing the administration’s intent to announce a nominee before the end of the week and highlighting the importance of the new Fed leadership in shaping the future of U.S. monetary policy [4]. Bessent noted that the direction of the Federal Reserve could shift significantly under the incoming chair, particularly in relation to inflation, employment, and interest rate decisions [4].

Although the administration has not yet released specific details about the qualifications or policy preferences of the shortlisted candidates, Trump has expressed confidence in the process and signaled that he is following a strict timeline [3]. Some officials involved in the search have indicated that the administration is casting a wider net than usual, aiming to ensure the new chair aligns with the administration’s broader economic goals [6].

The market reaction has been cautious, with investors and analysts closely watching the developments. Given the central role the Federal Reserve plays in global liquidity and monetary policy, any change in leadership is likely to have far-reaching implications. In particular, cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH) remain sensitive to Federal Reserve decisions, as liquidity and risk appetite are closely tied to U.S. monetary policy [1]. Analysts have pointed out that historical trends show crypto markets tend to react strongly to shifts in Fed leadership, particularly regarding interest rate expectations [5].

Bitcoin’s current price stands at $123,492.68, with a market cap of $2.46 trillion and a 58.80% market dominance [1]. Over the past 60 days, Bitcoin has seen a price increase of 17.07%, reflecting ongoing volatility and uncertainty in the broader financial environment [1]. The Coincu research team has noted that a change in Federal Reserve leadership could influence regulatory and financial dynamics, particularly for crypto assets that are closely linked to U.S. dollar liquidity cycles [1].

Sources:

[1] Trump administration considers 11 candidates to replace Fed (https://finance.yahoo.com/news/trump-administration-considers-11-candidates-124933041.html)

[3] Trump says search for Powell replacement 'down to 3 or 4 ... (https://finance.yahoo.com/news/trump-says-search-for-powell-replacement-down-to-3-or-4-after-reportedly-widening-to-11-150307140.html)

[4] Bessent says Trump Fed appointments will 'change ... (https://www.foxbusiness.com/media/bessent-says-trump-fed-appointments-will-change-narrative-monetary-policy-direction)

[5] Odds of Trump tapping David Zervos for Fed chief jump on ... (https://www.cnbc.com/2025/08/13/trump-zervos-fed-kalshi-odds.html)

[6] Trump officials cast a wider net for Powell replacement at Fed (https://subscriber.politicopro.com/article/2025/08/trump-powell-fed-chair-bessent-bullard-jefferson-00504784)