New Fed Chair Kevin Warsh signals a return to monetarism, and crypto markets should pay attention

New Fed Chair Kevin Warsh signals a return to monetarism, which may tighten liquidity and increase volatility within crypto markets. Simultaneously, the US dollar has transitioned from an insurance policy to a growth stock. This shift challenges the appeal of crypto as a hedge, potentially altering global capital flows and investor strategies. Both the monetarist approach and the changing role of the US dollar represent critical factors that crypto markets must closely monitor.