A major investment bank just flagged something worth paying attention to: the ongoing Justice Department investigation into Federal Reserve Chair Jerome Powell is creating additional uncertainty around U.S. rate cut timing.

Here's the thing—while the broader market hasn't panicked over this yet, there's a real risk that the probe could embolden the hawkish faction within the Fed, making interest rate cuts even less likely in the near term. Think about what that means for crypto traders and investors: tighter monetary conditions typically translate to less liquidity flowing into riskier assets.

The investigation could give dovish policymakers less political cover to push for looser policy. If hawks sense weakness, they'll use it. And when the Fed stays stuck in a higher-for-longer rate environment, that ripples through every asset class—equities, commodities, and of course digital assets.

So while mainstream media might downplay this story, for anyone tracking macro trends and their impact on the crypto market, this is definitely a subplot to monitor. Policy uncertainty often breeds volatility.