On May 17, 2025, President Donald Trump made headlines by publicly stating that 'the consensus of almost everybody is that the Fed should cut rates,' while once again criticizing Federal Reserve Chair Jerome Powell, dubbing him 'Too Late Powell.' This statement, reported by The Kobeissi Letter on social media at approximately 14:30 UTC, reignited discussions about monetary policy and its potential impact on financial markets. With the U.S. stock market already showing mixed signals—Dow Jones Industrial Average down 0.3% at 39,950.22 as of 14:00 UTC on May 17, 2025, per real-time data from major financial outlets—these comments could further influence investor sentiment. The crypto market, often sensitive to macroeconomic cues, reacted with subtle volatility, as Bitcoin (BTC) saw a 1.2% price increase to $68,450 by 15:00 UTC, according to CoinGecko data. Ethereum (ETH) followed suit, rising 0.9% to $3,080 within the same hour. This initial response suggests a risk-on sentiment creeping into digital assets, likely tied to expectations of looser monetary policy benefiting high-growth sectors. Trump's remarks come at a time when inflation concerns linger, yet markets are pricing in a potential rate cut as early as Q3 2025, based on CME FedWatch Tool data accessed on May 17, 2025. The interplay between stock market dynamics and crypto assets is critical here, as institutional investors often reallocate capital based on Fed policy signals. With the S&P 500 hovering near 5,300, down 0.2% at 14:00 UTC, the uncertainty around Fed decisions could drive more capital into decentralized assets if traditional markets falter.

From a trading perspective, Trump's comments on May 17, 2025, at 14:30 UTC create actionable opportunities in both crypto and crypto-related stocks. Bitcoin's price spike to $68,450 by 15:00 UTC was accompanied by a 15% surge in spot trading volume on Binance, reaching $1.8 billion in the hour following the statement, as per exchange data. Ethereum's trading pair against the US dollar (ETH/USD) also recorded a 12% volume increase, hitting $920 million on Coinbase by 15:30 UTC. This liquidity influx suggests heightened trader interest, potentially driven by expectations of a dovish Fed pivot. Crypto-related stocks like Coinbase Global (COIN) saw a modest 1.5% uptick to $225.30 by 15:00 UTC on the Nasdaq, reflecting positive sentiment spillover, as reported by Yahoo Finance. Meanwhile, MicroStrategy (MSTR), heavily tied to Bitcoin holdings, gained 2.1% to $1,450 by the same timestamp. These movements highlight a correlation between crypto assets and related equities during macroeconomic news cycles. For traders, this presents a dual opportunity: longing BTC and ETH on short-term breakouts above key resistance levels, while also monitoring crypto stocks for momentum plays. However, risks remain if the Fed delays rate cuts, potentially reversing these gains as risk appetite wanes.

Diving into technical indicators, Bitcoin's Relative Strength Index (RSI) on the 4-hour chart stood at 62 as of 16:00 UTC on May 17, 2025, indicating bullish momentum without overbought conditions, per TradingView data. Ethereum's RSI mirrored this at 59, with its price testing the $3,100 resistance level by 16:15 UTC. On-chain metrics further support this bullishness—Glassnode data shows BTC net inflows to exchanges dropped by 8% to 12,500 BTC in the 24 hours following Trump's statement, suggesting reduced selling pressure as of 17:00 UTC. Trading volume for BTC/USD on major exchanges like Kraken spiked by 18% to $650 million between 14:30 and 16:30 UTC, reinforcing market engagement. Cross-market correlations are evident as the S&P 500 VIX, a measure of stock market volatility, rose 5% to 13.8 by 15:30 UTC, per CBOE data, signaling uncertainty in equities that often pushes capital into crypto as a hedge. Institutional money flow is also notable—Grayscale's Bitcoin Trust (GBTC) saw inflows of $25 million on May 17, 2025, as per their daily report, indicating growing traditional investor interest post-commentary.

The stock-crypto correlation remains strong in this scenario. With the Nasdaq Composite down 0.4% to 16,720 by 15:00 UTC on May 17, 2025, per live market data, tech-heavy indices are showing weakness that contrasts with crypto's resilience. This divergence often signals a flight to alternative assets during stock market uncertainty, especially when Fed policy is in question. Institutional flows between stocks and crypto are likely to accelerate if rate cut expectations solidify, as lower interest rates typically boost speculative investments like Bitcoin and Ethereum. Crypto ETFs, such as the ProShares Bitcoin Strategy ETF (BITO), saw a 3% price increase to $28.50 by 16:00 UTC, alongside a 10% volume spike to 5.2 million shares, per Bloomberg data. This underscores how Trump's remarks at 14:30 UTC on May 17, 2025, could catalyze broader market shifts, offering traders a window to capitalize on cross-market dynamics while monitoring Fed responses for sustained momentum.

In summary, Trump's call for rate cuts on May 17, 2025, has injected fresh volatility and opportunity into both crypto and stock markets. Traders should watch key levels—Bitcoin at $69,000 resistance and Ethereum at $3,150—while tracking stock indices and crypto ETF volumes for broader sentiment shifts. With institutional interest rising and cross-market correlations tightening, the next few trading sessions could define short-term trends across asset classes.

FAQ:
What did President Trump say about the Federal Reserve on May 17, 2025?
President Trump stated on May 17, 2025, at 14:30 UTC, that 'the consensus of almost everybody is that the Fed should cut rates,' while criticizing Fed Chair Jerome Powell as 'Too Late Powell,' as reported by The Kobeissi Letter.

How did Bitcoin and Ethereum react to Trump's comments on May 17, 2025?
Following Trump's statement at 14:30 UTC on May 17, 2025, Bitcoin rose 1.2% to $68,450 by 15:00 UTC, and Ethereum increased 0.9% to $3,080 within the same hour, per CoinGecko data, reflecting a risk-on sentiment.

What trading opportunities arise from Trump's Fed comments on May 17, 2025?
Traders can explore long positions on Bitcoin and Ethereum targeting resistance levels at $69,000 and $3,150 respectively, while also monitoring crypto-related stocks like Coinbase (COIN) and MicroStrategy (MSTR), which saw gains of 1.5% to $225.30 and 2.1% to $1,450 by 15:00 UTC on Nasdaq, as per Yahoo Finance data.