Fed rate cut odds drop as Senate nears confirmation of Kevin Warsh as Fed Chair, pressuring Bitcoin and gold prices.

The US Senate is moving closer to confirming Kevin Warsh as the next Federal Reserve Chair, reducing expectations for rate cuts in 2026 and 2027. Warsh's hawkish stance and support for a smaller Fed balance sheet have led markets to anticipate steady or higher interest rates, causing Bitcoin and gold prices to decline. Inflation concerns and geopolitical tensions, including stalled US-Iran peace talks, add to market uncertainty. Final confirmation votes are expected this week, with Warsh likely to replace Jerome Powell soon.