Analyst warns that removing Fed Chair Powell could have a catastrophic impact on markets. Bitcoin surpasses $120,000, exceeding Amazon’s market cap. Over $4 billion flows into crypto products as altcoins gain momentum. President Trump hints at interest rate cuts, impacting investor expectations.

The possible removal of Federal Reserve Chair Powell poses a significant risk to the market, says Deutsche Bank strategist. Dismissing Powell could trigger a 3%–4% dollar fall and push up U.S. Treasury yields. Global financial turmoil and loss of market confidence in U.S. monetary policy could result from Powell’s removal.

Analysts warn that firing Powell would shake market confidence. Trump’s push for lower rates amid rising debt costs may lead to a loss of faith in the Fed’s independence. Nixon’s decision in 1971 to unpeg the dollar from gold caused a gold price boom. Bitcoin’s price reflects larger macroeconomic concerns.

Read more at Yahoo Finance: Analyst warns removing Fed Chair would be ‘nuclear event’ for markets