Bitcoin blew past $87,000 on Monday morning, kicking off a volatile week that could reshape crypto markets. With U.S. economic data looming, Ethereum burns falling to all-time lows, and Donald Trump hinting at a softer tariff stance, traders are buckling in for a potentially dramatic shift in sentiment. Add to that increasing calls from analysts forecasting the end of the so-called “bear market” and it’s clear: this isn’t just another quiet week in crypto.
Bitcoin Pops as Tariff Fears Cool Off
Over the weekend, Bitcoin was drifting just above $85,000. But things shifted quickly as reports suggested that the U.S. tariffs set for April 2 might be milder than expected. That—and the Federal Reserve’s cooler stance on inflation—sent traders back into risk-on mode.
“Bitcoin is attempting to form a bottom,” said Markus Thielen of 10x Research, crediting Trump’s newfound “flexibility” on tariffs. Thielen added that Jerome Powell’s “mildly dovish tone” in the Fed’s latest meeting signaled future easing, which helped reignite optimism across both crypto and equities.
This Week’s Economic Reports Could Change Crypto Sentiment
Still, everyone’s focus is on this week’s economic reports. Consumer confidence, personal spending, and PCE inflation figures are due—and they could swing crypto sentiment either way.
“In this climate, investors are remaining cautious,” said Nick Ruck of LVRG Research. He warned that weak data could signal tighter budgets ahead, which would dampen enthusiasm for speculative assets like crypto.
But not everyone is spooked. Augustine Fan of SignalPlus said the economy’s “hard” data is stronger than most think, calling current price levels a potential buying zone for medium- to long-term investors.
Ethereum Activity Sinks as Burn Rate Hits Record Low
While Bitcoin surged, Ethereum was eerily quiet. Just 50 ETH was burned on Sunday—its lowest ever. That’s a 99% drop from its May 2022 peak, as users migrate to cheaper networks like Solana and Tron. The plunge reflects a broader slump in on-chain activity and speculative trading.
Analysts Say This “Bear Market” Won’t Last Long
Despite the term “bear market” being thrown around, some analysts say it’s more bark than bite. Timothy Peterson, author of Metcalfe’s Law as a Model for Bitcoin’s Value, thinks this slump will be over in 90 days.
He doesn’t see Bitcoin breaking far below $80,000, and even expects a 20–40% rally after April 15. “This would probably be enough of a headline to bring weak hands back into the market,” he said.
Bottom line: with tariffs shifting, the Fed softening, Ethereum fading, and key U.S. data incoming—this week could be a turning point. Investors should stay informed on how these developments impact their favorite cryptocurrency prices by tracking them through TipRanks’ Cryptocurrency Center.
