Key Insights:
- Bitcoin worth jumped 2.9% to $104,771 after U.S. inflation dropped to 2.3%, the bottom since February 2021.
- BTC futures open curiosity rose 2.38% to $68.57B, signaling new capital influx regardless of falling buying and selling quantity.
- RSI at 64.12 and MACD bullish crossover verify development energy, however $109K stays the important thing breakout stage.
Bitcoin (BTC) has surged above $104,000 following the discharge of the most recent U.S. inflation information. This transfer has reignited bullish curiosity throughout crypto markets. Nonetheless, analysts warning that except Bitcoin breaches a key stage of $109,000, the chance of correction stays.
Market information and technical indicators present each energy and warning indicators, making the $109,000 mark a vital threshold for the following transfer to a brand new all-time excessive.
Bitcoin Climbs After Inflation Information, However Resistance Degree Stays Key
Bitcoin’s worth rose to $104,771 on Monday, boosted by lower-than-expected U.S. inflation information. In accordance with the U.S. Bureau of Labor Statistics, the Client Worth Index (CPI) elevated by 2.3% in April 2025, down from 2.4% in March. This marks the bottom inflation studying since February 2021.
The inflation report strengthened expectations that the Federal Reserve may decrease rates of interest in upcoming months. Bitcoin responded rapidly, gaining 2.9% inside two hours of the information launch. Spot buying and selling volumes on Binance jumped 35% on the BTC/USDT pair throughout the identical interval.
US CPI
Different markets additionally reacted. Shares of Coinbase climbed 5.3% in pre-market buying and selling, and S&P 500 futures rose 1.1%. Nonetheless, regardless of the bullish sentiment, analysts emphasize that Bitcoin wants to interrupt above $109,000 to verify an prolonged rally.
Market Construction Reveals Momentum however Quick-Time period Dangers Persist
Bitcoin’s chart patterns present a bullish construction, with clear greater highs and better lows. It has efficiently turned the previous resistance round $93,000 into a brand new assist stage, suggesting robust market momentum. This worth motion factors to ongoing energy, however resistance stays forward.
Technical indicators additional assist the uptrend. The Relative Energy Index (RSI) stands at 64.12, nicely under the overbought stage of 70. This implies there may be nonetheless room for additional upside earlier than momentum turns into overheated.
In the meantime, the MACD reveals a confirmed bullish crossover, with a rising histogram and a widening hole between the MACD line and sign line.
Supply: TradingView
Regardless of these indicators, analysts proceed to level at $109,000 as the extent that may determine the following path. With no breakout above that line, Bitcoin could proceed buying and selling in a spread or face renewed downward strain.
The market at the moment seems to be in a vital holding sample. Now buying and selling at $103,544.61, Bitcoin worth is up 0.81% from the intra-day low and round 5% away from its all-time excessive of $109,114.
Derivatives and Sentiment Counsel Bullish Bias however Merchants Stay Cautious
CoinGlass information reveals rising bullish sentiment amongst institutional merchants. Open curiosity in Bitcoin futures elevated by 2.38% to $68.57 billion, whereas choices open curiosity rose 2.50% to $39.89 billion.
Regardless of this, futures buying and selling quantity fell by 13.71%, and choices quantity declined by 9.64%, suggesting warning amongst short-term merchants. Prime merchants on Binance confirmed a protracted/quick ratio of 1.595, signaling robust lengthy publicity.
Retail sentiment stays cautious, with extra quick positions dominating throughout numerous platforms. This distinction in positioning may result in a brief squeeze if the value climbs.
Supply: CoinGlass
Within the final 24 hours, $84.61 million in liquidations occurred, with $28.27 million from shorts. Most quick liquidations occurred throughout the first hour after the CPI information launch, suggesting many merchants weren’t positioned for the short transfer.
Break Above $109,000 Wanted to Affirm Uptrend Continuation
The $109,000 mark is now thought to be the extent of Bitcoin resistance. Technical indicators point out elevated purchaser exercise, with rising +1.27K in quantity delta and increasing Bollinger bands implying sure worth enhancement. Bitcoin is above the premise and envelope bands, nonetheless displaying bullish momentum.
Analysts warning {that a} Check of $109,000 will set off a market rotation. In accordance with EGRAG Crypto, a lower within the dominance of BTC because the altcoins rise may point out a cycle high, doubtlessly earlier than a bigger reversal by mid-2026.
Supply: X
With Bitcoin trapped in consolidation beneath all-time highs, merchants are eagle eyeing an escape. Additional market sentiment could have various sentiments based mostly on the upcoming statements from the Federal Reserve officers and FOMC minutes. A daring step over $109,000 remains to be very important in confirming the following bullish break.
