Crypto Market Outlook: 3 Key Factors to Watch This Week

The crypto market outlook for this week is shaped by a mix of economic data, investor sentiment shifts, and looming geopolitical tensions. As Bitcoin rallies past the $87,000 mark, several macroeconomic events and corporate earnings reports are positioning themselves as key signals for both traditional and digital asset traders alike.

Over the Easter weekend, market activity remained subdued, with no significant trade developments materializing. Meanwhile, political tensions flared as U.S. President Donald Trump released a list of what he called “non-tariff cheating” countries, lambasting opponents of tariffs as poor businesspeople. This rhetoric underscored the broader uncertainty facing global markets as inflation expectations rise.

Adding to investors’ concerns, consumer sentiment has noticeably declined, while expectations around household inflation have shot up. These shifts reflect a potentially rocky economic road ahead. Buyers and investors are bracing for heightened volatility as this week kicks off with influential data that could steer the Federal Reserve’s monetary decisions.

Federal Reserve Chair Jerome Powell’s critique of Trump’s tariff strategies only escalated tensions, with Trump taking to social media and threatening to fire the central banker. This very public disagreement has cast a shadow over financial markets, painting an uncertain backdrop heading into a critical week for economic and crypto indicators.

Upcoming Economic Events: April 21–25

A full slate of economic releases lies ahead, and these could reshape both traditional and crypto market sentiment. Starting Wednesday, the spotlight turns to the release of Global Services and Manufacturing PMI data, crucial early indicators of economic health. These reports offer insight into whether sectors are expanding or contracting and serve as leading flags for future activity.

Thursday brings the March Durable Goods Orders report, a vital measure of manufacturing strength. This report tracks the value of new orders placed with domestic manufacturers for hard goods such as vehicles, appliances, and electronics. Because these items are significant expenditures, changes in order volume can be closely tied to consumer confidence.

Closing out the week on Friday are April’s Consumer Sentiment Index and the Consumer Inflation Expectations survey. These data points assess how optimistic consumers are about the economy and their long-term views on price increases—both important metrics for monetary policymakers and traders alike.

According to a tweet from The Kobeissi Letter, additional events of importance this week include:

• S&P Global Services/Manufacturing PMI Data – Wednesday
• March New Home Sales – Wednesday
• March Durable Goods Orders – Thursday
• March Existing Home Sales – Thursday
• Eight public speaking events by Federal Reserve officials
• Q1 earnings reports from roughly 20% of S&P 500 companies

This packed schedule could trigger new volatility in cryptocurrency markets, especially if inflation or slowing growth dominates headlines. Economist Adam Posen from the Peterson Institute for International Economics warned that the U.S. is at risk of a potential wave of stagflation, a scenario where inflation rises while growth slows. He noted that the government appears “ill-prepared” to manage such a challenge, and the Federal Reserve might be trailing behind with its current policy stance.

Crypto Market Momentum Led by Bitcoin

Despite macroeconomic headwinds, crypto markets have kicked off the week on a positive note. Bitcoin surged to reclaim the $87,000 level, a height it hadn’t reached since late March, spearheading an overall rebound in digital assets. Analysts suggest this marks a breakout from a falling wedge formation—a potentially bullish signal that may end the downtrend observed over the last few months.

While Bitcoin leads, other major assets like Ethereum, XRP, and Binance Coin have also posted modest gains. Yet it’s Bitcoin’s movement that remains the strongest and most influential indicator for the broader market.

This week’s trading will be under a microscope as traders and institutions parse economic announcements and earnings reports from companies like Alphabet (Google) and Tesla. As around 20% of the S&P 500 releases earnings in the coming days, crypto traders are also watching how risk markets generally respond, which could drive short-term sentiment in digital assets.

Related: Expert Advice: Sell XRP If You’re Confused

All things considered, market analysts emphasize that this week could bring additional turbulence as inflation narratives, monetary policy signals, and corporate performance shape investment strategies across both traditional and crypto landscapes.