Bitcoin Fails Safe Haven Test Amid Political Uncertainty

2026-01-12 14:20:27

Source: CryptoNewsNet Original Title: Bitcoin fails haven test as Justice Dept. subpoenas Powell: Crypto Daybook Americas Original Link: https://cryptonews.net/news/finance/32262668/ Since its introduction in 2009, bitcoin has been viewed by its supporters as an anti-establishment asset and a shield against financial mismanagement and political turmoil.

Yet on Monday, the largest cryptocurrency is trailing traditional safety assets such as gold even as tensions between President Donald Trump and Fed Chair Jerome Powell escalate, raising concerns about the central bank’s ability to maintain its independence.

On Sunday, Powell revealed that federal prosecutors opened a criminal investigation against him, focusing on his Congressional testimony about the central bank’s renovation project. Powell framed the probe as political pressure on the bank’s independence for refusing to cut interest rates aggressively, as the president has repeatedly demanded.

This development highlights a critical moment for cryptocurrency markets, as traditional safe havens like bitcoin face competition from conventional assets during periods of political and economic uncertainty.

BTC0,06%

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