Trump to Interview Finalists for Fed Chair; Hassett Seen as Frontrunner — Implications for Crypto
US President Donald Trump will begin interviews this week for final candidates to be the next Federal Reserve chair after Treasury Secretary Scott Bessent submitted a shortlist. Confirmed names include Kevin Warsh and National Economic Council director Kevin Hassett, widely viewed as the frontrunner; other potential candidates are Fed governors Christopher Waller and Michelle Bowman and BlackRock CIO Rick Rieder. Trump and Bessent are expected to conduct interviews next week, with a likely decision in January. Markets reacted when Trump publicly called Hassett a “potential Fed chair,” briefly sending prediction-market odds for Hassett up to roughly 85% before settling near 73% on Kalshi; Warsh’s odds sit much lower. Analysts note the appointment will shape macro policy and risk assets, including the crypto market. Hassett has said he would act independently on monetary policy and focus on inflation dynamics, indicating he would adjust rates if inflation surged. For crypto traders: a new Fed chair could change the trajectory of interest-rate expectations, dollar strength, and risk-on flows. Short-term volatility is likely around interviews and the final appointment; longer-term direction will depend on the new chair’s stance on inflation and rate policy.
Neutral
The appointment process for a new Fed chair introduces uncertainty but not an immediate deterministic direction for crypto prices. Markets are pricing Kevin Hassett as the likely appointee, which reduced some ambiguity; his stated independence and focus on inflation suggest a potentially pragmatic approach to rate policy. For crypto traders, this implies: short-term — elevated volatility around interviews, public comments and the January decision as rate-expectation-sensitive assets repriced; medium-to-long-term — price direction depends on the new chair’s tilt (dovish = more risk-on flows/bullish for crypto; hawkish = tighter policy, weaker risk appetite/bearish). Because the latest reports emphasize process and probabilities rather than a confirmed policy shift, the immediate impact is neutral overall, with event-driven volatility and conditional bullish/bearish scenarios tied to the chair’s eventual stance on inflation and rates.