2026-01-15 09:33:21

The latest US news has sparked quite a discussion in the crypto circle. On January 9, 2026, the US Department of Justice issued a grand jury subpoena to Federal Reserve Chairman Jerome Powell, initiating a criminal investigation. Powell responded through an official statement, stating that this is political pressure on monetary policy rather than a legitimate legal process.

What is behind this event? A quick look reveals that the investigation stems from Powell’s Congressional testimony last June regarding the Federal Reserve headquarters renovation project. This $2.5 billion project, initiated in 2022 and originally scheduled for completion in 2027, has now exceeded its budget by about $700 million. The Department of Justice ostensibly aims to examine potential abuse of power, but Powell believes it is purely politically motivated.

What does the market think now? The key point is the expectation of interest rate cuts. As this wave of controversy unfolds, market expectations for rate cuts in 2026 have significantly shrunk—currently, only 51 basis points of rate cut room are expected, far below previous forecasts. This might seem unfavorable for risk assets, but something interesting has happened.

On Tuesday, US stock futures fell by 0.4%-0.7%, but Bitcoin not only did not follow the decline, it actually rose by 0.7%, demonstrating a decoupling from traditional financial assets. Why? Many analysts point out that concerns over the Fed’s independence and the deepening awareness of the risks of central bank politicization are strengthening Bitcoin’s appeal as a hedge. In other words, when the fiat monetary policy environment becomes more uncertain and politically charged, demand for assets like Bitcoin that are not subject to a single country’s politics increases.

This wave of market movement may be hinting at a long-term change: Bitcoin is gradually evolving into a tool for hedging inflation and policy risks.

BTC-0,22%

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NFTRegretter

· 01-15 10:02

That's why I've always been optimistic about BTC... When the Federal Reserve has become a political tool, what else can we expect?

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DaisyUnicorn

· 01-15 10:01

Oh, this is the moment we've been waiting for—the bloom of the hedge flower. Political interference in monetary policy has caused the traditional financial garden to start withering, but BTC stands tall and firm. Basically, people have finally realized that centralized systems are unreliable. Interest rate cuts lead to shrinkage, but Bitcoin defies the trend and rises against the odds. This tells a story more than any data could. After stepping into many pits, I realize that true hedging is not short-term arbitrage but long-term self-rescue. This might be the dividing line between Bitcoin's conceptual stage and its realization.

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GoldDiggerDuck

· 01-15 09:59

I'll say it, the Federal Reserve has been played badly, now even Bitcoin can't stand it anymore. Speaking of Powell, he's really unlucky this time, with a $2.5 billion renovation project overspending by $700 million. Who can withstand that? No more rate cuts, US stocks have fallen, but Bitcoin has actually risen? This is the real safe-haven asset, wake up everyone. Basically, it's political interference in monetary policy. Holding Bitcoin now is the right move. The politicization of central banks will eventually come at a cost. Looking at this trend, in the future, when mentioning safe-haven assets, Bitcoin might really have to be placed first, no exaggeration. The US move is brilliant, shooting itself in the foot, and in turn, giving Bitcoin the best advertisement.

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SatsStacking

· 01-15 09:55

I've long seen through it; as political struggles escalate, even the Federal Reserve can't protect it. This time, Bitcoin's safe-haven attribute is confirmed.

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DancingCandles

· 01-15 09:41

Politicized Federal Reserve, the spring of the crypto world? That logic is incredible --- After all the fuss, it's still arbitrage—US stocks fall, BTC rises; decoupling is real --- Is Powell being summoned really just to renovate the building? I feel there's more to it --- Central bank politicization = upgrade in the reason to hold coins; this trade is still solid --- Wait, shrinking rate cut expectations are actually pushing up Bitcoin? This is different from conventional wisdom --- Here it comes, is the era of non-sovereign currencies approaching? --- This decoupling is too obvious; institutions are quietly shifting --- $2.5 billion renovation overspent by $700 million... This was already exposed in the crypto circle --- Hedging political risk sounds more realistic than hedging inflation --- The Federal Reserve has become a political tool, Bitcoin's yield rights are certain, which one to choose?

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