Bitcoin Battles $104K with Greed Rising

The cryptocurrency market continues to show impressive strength. A minor weekend pullback has already been erased, with coins resuming their upward trajectory and extending recent breakouts. This resilience underlines the bullish momentum that remains firmly in play.

Sentiment reflects this optimism, with the Bitcoin Fear & Greed Index currently sitting at 70, firmly in Greed territory. While not extreme, this elevated reading suggests the market is clearly bullish.

Looking ahead, this week promises heightened volatility as the US and China reportedly make significant progress in their trade negotiations. Over the weekend, the US announced a tentative agreement with China, with more details expected within the next 24 to 48 hours. Markets will be watching closely — stay tuned.

Another major catalyst comes tomorrow night with the release of the latest US inflation data. The CPI report is due at 10:30pm AEST, and as a key driver of interest rate expectations, it could shape market sentiment sharply. While the year-on-year CPI is forecast to remain unchanged, both headline and core CPI on a monthly basis are expected to rise by 0.3%.

A softer-than-expected CPI print would signal easing inflationary pressures, likely fuelling a rally in risk assets — potentially propelling Bitcoin back toward its all-time highs. Conversely, a higher-than-forecast reading could prompt a pullback across crypto and equities alike.

Stormrake Spotlight: Bittensor (TAO) ($467)

Bittensor (TAO) has been a standout performer. After breaking through the initial target of $440 and hitting a high of $470, TAO saw a brief retest of the $440 level. The strong bounce from this area confirms bullish strength, and price action is now pushing even higher. Momentum suggests target 2 could be reached in the coming week, barring any macro headwinds.

BTC/USD Key Levels and Price Action:

Bitcoin continues to be well-supported by its 21EMA, which is steadily guiding price higher. Since early Friday, BTC has been grappling with the critical $104k resistance level. With both the 21EMA and the 55EMA providing a solid foundation, a breakout above $104k seems increasingly likely in the near term. The battle continues, but the bulls are well-positioned.

BTC Total ETF Flows for 11 May: (data not available at the time of writing)

*All prices are denominated in USD unless stated otherwise*

Written by Alexandar Artis

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