Bond markets just got a jolt. Treasury yields spiked as traders scrambled to recalculate their playbooks following Trump's remarks about potentially bypassing NEC Director Kevin Hassett for the next Federal Reserve Chair role. The shift was immediate—two rate cuts previously priced into 2026 suddenly look less certain now.

What happened? Simple: market participants are nervous about who actually gets the keys to the Fed. Hassett was seen as relatively familiar territory. A different pick? That's a wildcard nobody wants right now. The uncertainty alone is enough to move needles across fixed income markets.

For crypto traders watching macro flows, this matters. Tighter monetary policy expectations = less liquidity sloshing around. Fewer rate cuts = prolonged elevated rates, which can pressure risk assets. When bond traders are repositioning like this, altcoins and growth-sensitive crypto positions typically feel it downstream.

The street's now bracing for more clarity on who actually gets nominated, but for now, that 2026 rate-cut narrative is getting rewritten in real time.