Key Notes
- A dovish Fed chair could become the single biggest bullish catalyst for Bitcoin.
- Trump’s reported shortlist includes candidates seen as more open to earlier rate cuts.
- Bitcoin is trading near $109K after ten weeks in a $109K–$124K range.
Bitcoin is trading in a cautious range, but a change in leadership at the US Federal Reserve could provide the momentum that pushes the cryptocurrency to new all-time highs. Investors are watching closely who will replace Jerome Powell, waiting for the next crypto explosion.
A Victory at a Big Cost
Galaxy Digital CEO Mike Novogratz said that a strongly dovish Fed chair could be the biggest bullish driver for Bitcoin and the wider crypto market.
He suggested that aggressive easing might send Bitcoin into a rapid, extended rally, potentially reaching levels that would alter the conversation. At the same time, he warned that such a path would carry big costs for the US economy and the Fed’s independence.
President Donald Trump has said he would favor a more dovish candidate, and reports place Kevin Hassett, Christopher Waller, and Kevin Warsh on a narrowing shortlist.
Waller, among those named, has previously pushed for earlier rate cuts, and markets typically treat such views as dollar-negative and supportive of risk assets like Bitcoin.
Bitcoin in a Crucial Zone
Technically, Bitcoin’s price action remains fragile, trading around $109,000 after a 5% decline in the past week. Analysts at Swissblock stated that Bitcoin has been range-bound for roughly ten weeks, fluctuating between approximately $109,000 and $124,000.
Risk models indicate that the market has moved into a destabilization phase but are now showing early signs of stabilization.
Bitcoin lost $110K, and yet the Risk-Off Signal never triggered.
Despite trading close to $107.3K, the prior local low from August’s correction, the structure is holding.
Bitcoin shows signs it may be preparing for a final round. 👇
Chart from @bitcoinvector pic.twitter.com/v1ZYKeQo9i
— Swissblock (@swissblock__) September 26, 2025
Swissblock highlighted that selling by long-term holders has slowed and that ETFs and treasuries continue to buy, which supports the market from below.
Their “Aggregated Impulse” indicator, built from price structures across hundreds of digital assets, suggests the market is in a reset phase. Historically, similar signals have marked major lows followed by strong rebounds in both Bitcoin and altcoins.
Swissblock’s aggregated impulse indicator | Source: Swissblock
On the other hand, October and November often bring favorable conditions for crypto, and a potential Fed easing cycle would act as a macro tailwind.
If the next Fed chair adopts a notably dovish stance, a weaker dollar and lower yields could accelerate flows into cryptocurrencies as investors seek higher returns.
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Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.
Parth Dubey on LinkedIn
Source: https://www.coinspeaker.com/next-fed-chair-pick-could-propel-bitcoin-to-record-highs/