According to Fox News, California Governor Gavin Newsom announced that rioters involved in the recent Los Angeles unrest will be prosecuted, while criticizing former President Trump for 'traumatizing our communities' (Fox News, June 11, 2025). This development signals increased law enforcement activity and potential for short-term volatility in local stock and cryptocurrency markets, especially as political instability often heightens risk sentiment. Traders should monitor risk-off flows into stablecoins like USDT and potential increased volatility in BTC and ETH, as social unrest and political statements frequently correlate with market moves during uncertain periods.

According to Fox News, U.S. Immigration and Customs Enforcement (ICE) and the Department of Homeland Security (DHS) have arrested an illegal immigrant in Wisconsin following allegations of threatening to assassinate former President Trump (Source: Fox News, May 28, 2025). This high-profile security incident is likely to heighten political risk sentiment, which historically leads to increased volatility in both traditional and crypto markets. Traders should monitor Bitcoin and Ethereum price action for potential safe-haven flows as uncertainty rises, and watch for increased trading volumes across major crypto exchanges during U.S. political instability.

According to Kayleigh McEnany as reported by Fox News on May 22, 2025, the demand for a special counsel and congressional subpoenas regarding the Abbey Gate incident has intensified political scrutiny in the US. Historically, such escalations in political investigations have led to short-term risk-off sentiment in traditional markets, often driving increased volatility in the cryptocurrency sector as traders seek alternative asset classes (source: Fox News, May 22, 2025). Market participants should monitor Congressional developments closely, as heightened US political instability can lead to surges in safe-haven flows to Bitcoin and stablecoins, impacting liquidity and volatility across digital assets.

According to The Kobeissi Letter, President Trump has publicly stated he would sign a ban on congressional stock trading, reinforcing his position with multiple endorsements. Despite this political momentum, leading prediction markets currently assign just a 7% probability to such a ban being enacted in 2025. Traders should note that while Trump's support could influence future volatility in related equities and legislative-focused ETFs, the low likelihood indicated by prediction markets suggests limited immediate impact on trading positions. Source: The Kobeissi Letter via Twitter.