Bitcoin Blasts Through $87K as Trump Seeks to Remove Powell and Dollar Sinks

Bitcoin Jumps to $87K as Dollar Slides on Trump’s Push to Oust Fed Chair Powell

Bitcoin surged past $87,000 on Monday, outperforming the broader crypto market, as mounting political pressure on the Federal Reserve triggered a sharp selloff in the U.S. dollar.

The rally followed reports that President Donald Trump is actively seeking to remove Fed Chair Jerome Powell, raising concerns about the central bank’s autonomy. The U.S. dollar index (DXY) plunged to 98.5 — its lowest point in three years — amid heavy selling by hedge funds across major currency pairs, including the euro, yen, and Australian dollar.

Bitcoin (BTC) rose more than 2% to $87,200, breaking out of its recent trading range and hitting its highest price since April 2, per CoinDesk data. Altcoins such as Ethereum (ETH), XRP, and Cardano (ADA) posted smaller gains of around 1%.

Gold also surged on haven demand, reaching a new record high of $3,382 per ounce. The yellow metal is now up 28% in 2025. Meanwhile, equity futures took a hit, with S&P 500 and Nasdaq contracts both down 0.5%.

Market analysts linked the moves to Friday remarks by National Economic Council Director Kevin Hassett, who confirmed Trump is reviewing options to terminate Powell. The dollar’s slide, in turn, fueled appetite for Bitcoin and gold as investors sought alternative stores of value.

“Today’s breakout in BTC mirrors the dollar’s sharp decline and gold’s continued rally — all signs point to investor concern over political interference at the Fed,” said Markus Thielen, founder of 10x Research.

Last week, Trump lashed out at Powell on Truth Social, calling for his removal and reiterating demands for lower interest rates. Powell, however, signaled patience on rate cuts, citing ongoing economic uncertainty and the threat of stagflation.

Chicago Fed President Austan Goolsbee warned that any move to remove Powell would jeopardize the Fed’s credibility and could destabilize financial markets.