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A major event has recently shaken the financial world. Federal Reserve Chair Jerome Powell is about to personally attend a Supreme Court hearing, and the background of this lawsuit is worth noting—former President Trump attempted to dismiss Federal Reserve Board member Lisa Cook years ago, and now the case has escalated to the Supreme Court.
It may seem like a political news story, but crypto market participants should realize that this is far more than a Washington power game.
**Why should you pay attention?**
If the court confirms Trump's "dismissal authority," then presidential interference in monetary policy will no longer be off-limits and could become the new normal. Powell's appearance is to defend the Fed's independence. But the reality is, the final ruling will directly impact the Fed's decision-making autonomy—including future interest rate cuts, the dollar's value, and consequently, the pricing of risk assets across the entire crypto market.
**How might the market react?**
In the short term, uncertainty surrounding the hearing will boost risk-averse sentiment. Market volatility will increase, presenting both risks and opportunities. In the long run, if the Fed maintains its independence, policy consistency will help stabilize market expectations; conversely, increased political intervention and uncertainty could significantly elevate risks, posing new challenges for asset allocation.
Every power shift in Washington ultimately propagates into the crypto market. Monitoring the progress of this hearing may help you better understand the upcoming market rhythm.