Last night, just as I was about to sleep, I suddenly received a message from a fren in the circle: "Keep an eye out, there are rumors that Powell might resign early, and there might be some news at 7 PM tomorrow."

As soon as these words were spoken, all sleepiness vanished. You must know that Powell, as the chairman of the Federal Reserve, his every move basically determines the flow of global capital – even if it’s just a rumor, the market will still tremble.

Why is the market so sensitive? Simply put, Powell not only controls the interest rate switch for the dollar but also indirectly affects the pricing of tens of trillions of dollars in assets. If he really leaves, whether his successor is hawkish or dovish, and whether policies will shift, these uncertainties are enough to reshuffle the global capital markets.

**The impact on the crypto market may be concentrated in three areas:**

**Policy vacuum period, funds will hesitate**
No one knows what approach the new chairman will take, and during such times, large funds usually tend to hold back and observe. Crypto assets may be viewed as a safe-haven tool to absorb a wave of liquidity, or they may be sold off first due to panic sentiment—entirely depending on how the market interprets the situation at that time.

**Short-term volatility is inevitable**
Whenever there are changes in the upper echelons of the Federal Reserve, the emotional aspect is bound to explode first. The crypto market is particularly sensitive to news, with panic selling, bottom fishing, and rebound buying all coming into play, and the volatility may be significantly stronger than usual.

**If newcomers are dovish, the long term is instead an opportunity**
If the successor tends to lower interest rates and relax monetary policy, it means that the liquidity of the US dollar is increasing. Historical experience shows that during times of ample liquidity, high-risk assets like Bitcoin and Ethereum often become the targets of capital pursuit.

**Lastly, one more thing:**
Regardless of the truth of the rumors, the market is always changing, but preserving capital is more important than anything else. Instead of betting on news, it is better to manage positions well, enhance understanding, and prioritize risk control—this is the core ability to navigate through cycles.