BREAKING: 3 Key Reasons Shaking Crypto Market Momentum Over Easter Week

The Easter weekend didn’t bring much peace to the global markets. Instead of positive headlines or trade deals, the world got a controversial “non-tariff cheating” list from former U.S. President Donald Trump. He bluntly called those who criticize tariffs “bad at business.” This sparked quite a bit of reaction across the financial world. At the same time, consumer sentiment took a hit, and expectations around household inflation jumped. That’s not a good sign; these shifts often hint at crypto volatility. If trends like these continue, we could be staring down a turbulent few weeks, or longer.

Powell vs Trump: The Tension Grows

Adding to the storm, Federal Reserve Chair Jerome Powell criticized the tariff approach. Unsurprisingly, Trump didn’t take it lightly. He clapped back by threatening to fire Powell, a move that adds more fuel to market uncertainty. When central bank leadership is publicly under fire, investor confidence tends to waver. This back-and-forth between political leaders and monetary authorities usually shakes the market growth. And this time is no different. With economic data and consumer sentiment reports expected this week, we may see central banks making bolder moves. The Kobeissi Letter summed it up nicely: “All signs point to more volatility this week.”

What to Watch in the Economy This Week

Starting on Wednesday, investors and economists will be keeping a close eye on the Global Services and Manufacturing PMIs releases. These numbers give clues about whether a business is improving or worsening and are a major indicator of the overall economy. Thursday sees the focus shift to the Durable Goods Orders report, which gives a gauge of consumer confidence, in this case, on spending big-ticket items such as cars and appliances. Friday features two key releases: Consumer Sentiment Index and Inflation Expectations. These will inform us of how the public perceives the economy and whether concerns regarding inflation are growing stronger.

Rising Inflation Worries

Some economists are sounding the alarm. Adam Posen, a former policymaker and current president of the Peterson Institute for International Economics, recently warned that the U.S. might be staring down a new wave of inflation. 

Key Events This Week:

1. S&P Global Services/Manufacturing PMI data – Wednesday

2. March New Home Sales data – Wednesday

3. March Durable Goods Orders data – Thursday

4. March Existing Home Sales data – Thursday

5. Total of 8 Fed Speaker Events

6. ~20% of S&P 500 companies…

— The Kobeissi Letter (@KobeissiLetter) April 20, 2025

According to him, the Federal Reserve could be caught off guard again. If prices start rising faster than expected, there’s a real risk the Fed might fall “behind the curve,” making it harder to get things under control.

Tech Earnings & Crypto Market Momentum

Big tech companies like Tesla and Alphabet are reporting earnings this week. Their results could impact not just the stock market, but also economic expectations. Meanwhile, Bitcoin has shown signs of recovery, climbing past $87,000. It’s leading a broader crypto rally, offering hope to investors after a stretch of slow movement. With the total crypto market cap hovering around $2.89 trillion, it’s clear that investor interest in digital assets remains strong, even after the ups and downs of recent years.