Trump pressures Powell to "resign immediately"! Officials accuse the Federal Reserve Chairman of lying under oath. Is Bitcoin about to welcome a $22 trillion catalyst?

Bitcoin maintained strength above $108,900 today (3rd), continuing last night's rebound trend. U.S. President Trump intensified pressure on Federal Reserve Chairman Powell, calling for him to "resign immediately," and shared a media report that claimed Federal Housing Finance Agency (FHFA) Director Bill Pulte accused Powell of lying during his Senate testimony. The U.S. M2 money supply has reached a record $22 trillion—analysts say this is a potential catalyst for Bitcoin's price breakout.

Trump posted on his social platform Truth Social, writing: "Slowpoke should resign immediately!!!" He was referring to Powell. "Slowpoke" is the derogatory term Trump has used for Powell over the past few months, implying that Powell has been slow to act on interest rate policy.

(Source: Truth Social)

The American news outlet Axios reported on Wednesday that the director of the Federal Housing Finance Agency, Bill Pulte, called on Congress to investigate Powell's testimony regarding the renovation of the Federal Reserve headquarters and possibly to remove him from office.

Porter posted on X (formerly Twitter) that he is calling for Congress to investigate Powell, stating that the Federal Reserve chairman's recent testimony regarding the renovation plan is "sufficient to be dismissed 'for cause'."

Pulte accuses Powell of providing misleading testimony in response to a senator's inquiry about the renovation budget of up to 2.5 billion dollars, claiming he "deliberately misled Congress" and stating that this constitutes "sufficient grounds for removal from office."

Axios reports that for a senior government official, this is an unusual and rare move, indicating how much pressure the White House is willing to exert on the Federal Reserve leader who has consistently resisted calls for interest rate cuts.

The Trump administration wants to get rid of Powell, who said last week that he plans to appoint a Federal Reserve chairman who can set interest rate policies according to his wishes. On June 27, he said, "If he (Powell) wants to resign, I would be very happy. He has performed very poorly." Trump also called Powell a "dummy."

Powell still maintains a "wait-and-see" stance on interest rate cuts, but the market's calls for a rate cut in September are growing louder. A rate cut by The Federal Reserve (FED) will be a key positive signal for Bitcoin.

Forbes reported that Trump's cryptocurrency czar predicts a "big surge" in July, with Bitcoin and cryptocurrency prices skyrocketing in the first few months of Trump's second presidential term.

Currently, the M2 Money Supply in the United States has reached a record 22 trillion dollars—analysts say this is a potential catalyst for Bitcoin price breakout.

(Source: Forbes)

Matt Mena, a cryptocurrency research strategist at 21Shares, commented in an email: "As M2 Money Supply begins to rise again, history shows that some liquidity will flow into Bitcoin and other digital assets."

Historically, the price of Bitcoin has closely tracked the M2 Money Supply, which is the Federal Reserve's estimate of liquid assets, including cash, deposits in checking accounts, savings accounts, and other short-term savings tools such as money market funds.

Cryptocurrency influencer Anthony Pompliano, who is set to lead a new Bitcoin acquisition company, wrote in an email: "If Bitcoin continues to follow the growth of the Money Supply, we may see the price of each Bitcoin reach $150,000 by the end of the year."

Powell continues to advocate for keeping interest rates unchanged, and the M2 Money Supply has subsequently increased.

According to The Guardian, Powell stated during a panel discussion this week: "In fact, when we saw the scale of the tariffs, we paused." He was referring to Trump's trade tariff "day of liberation," which has impacted the global economy.

"Due to tariffs, all inflation forecasts in the United States have basically risen significantly. We did not overreact; in fact, we did not react at all. We just took some time."

Last month, despite an increasing number of Federal Reserve officials advocating for interest rate cuts, the Federal Reserve maintained interest rates unchanged after initiating a rate cut cycle in September.

David Morrison, a senior market analyst at Trade Nation, commented in an email: "The Federal Reserve clearly expects inflation to remain above target. In this scenario, it sounds like the Fed will only cut interest rates if the employment situation in the U.S. deteriorates significantly."