Recently, a piece of news has been spreading within the community—rumor has it that the former president is very likely to finalize the new Fed chair before the year-end holidays.

Currently, the frontrunner is Kevin Hassett, a former subordinate who has strong support. Why? Simply put, he’s obedient. He has previously stated in public that he can help Americans get cheaper mortgages and car loans. Sounds heartwarming, but you know what that really means—the door to rate cuts might be opening. Another candidate, Kevin Warsh, now seems to have little chance.

What does this have to do with us? Let me break it down.

**The flow of money is key.** The Fed chair’s stance directly determines the global cost of capital. If someone who supports rate cuts gets the job, market liquidity will immediately change. Every time liquidity is injected, risk assets like Bitcoin are the first to catch on. It’s not magic—it's just capital instinctively seeking higher returns.

**More importantly, it's about attitude.** The next chair’s stance on the crypto industry will directly affect whether Wall Street’s big banks dare to put real money in. The Fed holds the power to regulate stablecoins and controls whether traditional banks can provide services to crypto companies. If someone comes in who even holds stock in a compliant platform and truly understands the industry, that would absolutely be a major turning point in the long run.

**What should retail investors do?**

First, stay calm but don’t ignore it. This news alone won’t send the market soaring overnight, but it’s a strong signal—the future policy environment may head in a more favorable direction. Markets often start pricing in expectations early, that’s just how it works.

Second, watch the timing. Since there’s talk of an announcement before the year-end holidays, the coming period will be a sensitive time for news. Until the decision is finalized, volatility is inevitable.

Finally, don’t mess with your core holdings. If rate cuts really happen, mainstream assets like Bitcoin and Ethereum will definitely be among the first to benefit. Don’t let short-term fluctuations shake you out of your position. Now isn’t the time to chase rallies or panic sell, but to make sure you’re still at the table.

Markets have always been like this—the big trends are often hidden in seemingly insignificant policy signals.