Trump calls for interest rates to be lowered to 1%. What do you think?
On July 15, 2025, local time, U.S. President Trump intensified his criticism of Federal Reserve Chairman Powell, stating that "our Federal Reserve chairman is terrible" and that U.S. interest rates should be below 1%.
Previously, Trump had also repeatedly called for interest rates to be lowered to around 1%. For example, on June 21, he posted on social media that Powell should make the "biggest and best contribution" to the U.S. by lowering interest rates, and that lowering rates to between 1% and 2% could save the U.S. up to $1 trillion each year.
Trump's call to lower interest rates to 1% is mainly driven by considerations of reducing debt interest expenses and promoting economic growth. He believes that lowering interest rates can reduce the costs for the U.S. government to raise funds, while implementing loose monetary policy can support tax cuts and revive the manufacturing industry, lower investment and financing costs, and serve as a key means to promote economic recovery, showcasing his achievements.
Policy Dual Catalysts
• Trump calls for lowering interest rates to 1%, creating a loose monetary environment
• Three key cryptocurrency bills are advancing: The "GENIUS Act" regulates stablecoins, the "CLARITY Act" clarifies regulatory divisions, and the "Anti-CBDC Act" restricts government digital currencies
• The policy combination effect may provide strong growth momentum for Bitcoin and the cryptocurrency market
Market Impact and Investment Opportunities
• Investment shift: Institutional funds are moving from low-yield government bonds to Bitcoin ETFs, with spot inflows increasing by 47%
• Altcoin rebound: High beta assets like Solana may see a 20-30% increase
• Derivatives market: BTC funding rates have reached 0.045%, but caution is needed before the Fed's decision on July 30 due to volatility
With clear regulation and dual drives of monetary easing, the cryptocurrency market may usher in a new round of upward cycles, but cautious operation is required before policies are implemented.