Trump Crashed Markets to Force Fed Rate Cuts—Crypto Hit Hard Too

Last Updated on March 11, 2025

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Key Takeaways:

  • Pompliano’s Theory: Anthony Pompliano suggests Trump is causing market uncertainty to push the Fed into cutting interest rates, aiming to ease U.S. debt refinancing.
  • Market Declines: Stocks and crypto have sharply dropped, with Bitcoin falling 27.4% from its all-time high, wiping $1.2 trillion from the crypto market.
  • Rate Cut Speculation: While the Fed is expected to hold rates steady in March, there’s a near 50-50 chance of a cut in May amid growing economic concerns.

Market analyst Anthony Pompliano speculates that former U.S. President Donald Trump is deliberately triggering market instability to pressure the Federal Reserve into cutting interest rates.

In a March 10 post on X, Pompliano suggested this strategy could help the U.S. avoid refinancing approximately $7 trillion in debt in the coming months.

He claims that Trump, alongside Treasury Secretary Scott Bessent, is driving asset prices lower to force Fed Chair Jerome Powell’s hand. 

Despite Trump’s calls for rate cuts, Powell announced in January that rates would remain at 4.25%–4.5%.

Pompliano believes Trump’s tariffs have contributed to market volatility while also helping to lower the 10-year Treasury yield from 4.8% in January to 4.21%.

Meanwhile, markets have tumbled—the S&P 500 dropped 2.66% on March 10, while Bitcoin has fallen 27.4% from its all-time high, wiping out over $1.2 trillion from the crypto market since December.

While Trump has not confirmed this strategy, he recently stated, “Nobody ever gets rich when the interest rates are high.” 

With CME FedWatch predicting a possible rate cut by May, some analysts warn a worsening economy—dubbed a “Trumpcession”—could force the Fed’s hand.

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