Bitcoin Reclaims $117K as Trump Signs 401(k) Crypto Order and Nominates Fed Dove
Bitcoin has surged back above $117,000, driven by major policy developments out of Washington and rising market confidence in a September rate cut.
The rally began overnight after President Trump signed an executive order clearing the path for cryptocurrencies to be included in 401(k) retirement plans. The move is being viewed as a milestone for mainstream adoption, potentially opening new demand pipelines from retail and institutional investors alike.
By late Thursday U.S. trading, momentum accelerated further following the White House’s nomination of Stephen Miran to the Federal Reserve Board of Governors. Miran, currently the chairman of the White House Council of Economic Advisers, is expected to align with Trump’s preference for looser monetary policy.
Rate Cut Odds Surge on Fed Signals, Weak Economic Data
Even before the nomination, dovish commentary from Fed officials had been building, particularly in response to disappointing labor and service sector data. The CME’s FedWatch tool now places a 95% probability on a 25 basis point rate cut in September—up sharply from just 38% a week ago.
All eyes are now turning to the Fed’s Jackson Hole Symposium later this month, where Chair Jerome Powell’s speech could deliver a more definitive signal on policy direction.
Crypto and Traditional Markets Respond
- Bitcoin (BTC): Up 2% to $117,500
- Ethereum (ETH): Jumps 5% to $3,867
- XRP: Climbs 3.4% to $3.10
- Gold: Up 1% to $3,468 per ounce
- U.S. Dollar Index: Edges lower
- U.S. Equities: Mixed performance across indexes
Bitcoin had dipped below $112,000 earlier in the week but is now firmly back in its July trading range, aided by fresh optimism over regulatory clarity and the prospect of easier monetary conditions. Investors appear to be re-risking, with crypto once again leading the charge.
