Let $A\in \mathbb{R}^{n\times n}$. Then the characteristic polynomial $P_A(X)$ is defined as $P_A(X)=\det(X\cdot Id-A)$. Clearly $P_A(X)$ is a monic polynomial of degree $n$. By the fundamental theorem of algebra, we can write $$P_A(X)=\prod_{i=1}^n(X-\lambda_i)$$
where the roots $\lambda_i$ are complex numbers in general.
Now one can expand this product to discover what the coefficients are in terms of the roots. Let's take an easy example first. Suppose $n=3$, then \begin{eqnarray}P_A(X)&=&(X-\lambda_1)(X-\lambda_2)(X-\lambda_3)\\&=&X^3-(\lambda_1+\lambda_2+\lambda_3)X^2+(\lambda_1\lambda_2+\lambda_1\lambda_3+\lambda_2\lambda_3)X-\lambda_1\lambda_2\lambda_3.\end{eqnarray}
It is well-known that $\text{Tr}(A)=\sum_{i=1}^n\lambda_i$ and $\det(A)=\prod_{i=1}^n\lambda_i$. Hence this accounts for the second and last coefficient in $P_A(X)$.
In general you can find by expanding $P_A(X)=\prod_{i=1}^n(X-\lambda_i)$ that the coefficients are given by symmetric polynomial expressions in the roots/eigenvalues $\lambda_i$ (up to sign). In fact this last observation is somehow crucial to the idea of Galois theory and already indicates how the symmetric polynomials enter this theory naturally.
Remark: Often the characteristic polynomial is defined by $P_A(X)=\det(A-X\cdot Id)$. There is nothing wrong with this definition, but the polynomial is no longer monic as the highest degree term might be $-1$ and I don't like that.