- Bitcoin and crypto market are experiencing a stronger correction since last Wednesday.
- Several events and data in the week ahead could determine the trend direction of Bitcoin and crypto.
Bitcoin and Crypto Market Correction
The Bitcoin and crypto market have been experiencing a stronger correction since last Wednesday, which has been rattling the bullish sentiment of the past few weeks. While the 1-week chart of Bitcoin still looks very bullish as long as the price stays above $25,000, the market is near the critical area in the 1-day chart.
Any divergence below $26,800 could mean a trend change on a daily basis. On the upside, the $27,800 area is of key importance. If this level is breached, the uptrend could resume sooner than expected by the bears.
Crucial Upcoming Events for Bitcoin and Crypto
Several events and data in the week ahead could determine the trend direction of Bitcoin and crypto. On Tuesday, April 25, the Conference Board will publish the latest US consumer confidence figures for March at 10:00 am (EST). Strong consumer data has been viewed positively by the crypto market, and a beat on expectations should have a slight positive impact on Bitcoin. Weak consumer confidence, on the other hand, could be an indication of an impending recession and accordingly mean a widening correction in the crypto market.
I've been told corrupt @SenWarren will be releasing a major anti-crypto bill soon. While I don't think it will get passed, it may impact the market. Could happen this week.
Keep fighting! contact your representatives, tweet, make content etc.
— Tony Edward (Thinking Crypto Podcast) (@ThinkingCrypto1) April 23, 2023
On Thursday, April 27, US gross domestic product (GDP) figures for the first quarter of trade in 2023 will be released in advance at 8:30 am (EST). If the forecast is confirmed, the financial market is likely to trend downwards for fear of an approaching recession. Exceeding the estimate, on the other hand, could trigger bullish momentum for Bitcoin and crypto.
The most crucial macro data point comes at the end of the week. On Friday, April 28 at 8:30 am (EST), the Bureau of Economic Analysis will publish core personal consumption expenditures (PCE) for March. If core PCE turns out higher, it will be bearish and likely weigh on the crypto market. On the other hand, if the core inflation rate increased less, a bullish reaction can be expected. The Bitcoin price is expected to benefit from continued falling inflation rates.
Crypto podcaster Tony Edwards has also issued a warning that Elizabeth Warren, the biggest crypto critic in all of Washington DC, could present an anti-crypto law that supposedly has no chance of success but could still shock the market for the time being. With these upcoming events and data points, the week ahead could be a volatile one for Bitcoin and the crypto market, and investors should remain cautious.