"I think what ends up happening is you get the hype, initially, and then once they are public, investors have more time to do the due diligence and it typically deflates some of the air out of the balloon," Nicholson said in an interview with Lisa Bernhard of Reuters.

Shares of Trump Media are down some 60% from their debut three weeks ago.

On the broader economy, Nicholson said he maintains his thesis that the Fed will not cut rates at all this year, explaining that "GDP growth has been higher than it was pre- pandemic."

Fed policymakers have said since the start of the year that rate cuts are contingent on gaining "greater confidence" that inflation is moving towards the central bank's 2% goal, but readings over the past few months show price pressures may even be moving in the opposite direction.

"The recent data have clearly not given us greater confidence and instead indicate that it's likely to take longer than expected to achieve that confidence," Powell told a forum in Washington, in what is likely to be his last public appearance before the April 30-May 1 policy meeting.