Bitcoin demonstrates robust bullish momentum as lower-than-expected U.S. inflation data and positive technical indicators signal resilience in the cryptocurrency market despite broader economic uncertainties.
May’s U.S. Consumer Price Index (CPI) showed a modest 0.1% monthly increase, with annual inflation at 2.4%. While slightly above the Federal Reserve’s target, the figures fell below market expectations, creating favorable conditions for Bitcoin’s upward price trajectory.
Technical analysis reinforces the positive outlook, with On-Balance Volume (OBV) and Chaikin Money Flow (CMF) indicators reflecting sustained buying pressure. Bitcoin maintains its position above critical moving averages, supported by a strong demand zone between $98,000 and $100,700 that continues to absorb selling pressure effectively.
Market observers note a potential risk area between $106,500 and $108,300. A daily close below $106,500 could trigger a corrective move toward the $100,000 to $102,000 range. However, investor sentiment remains cautiously optimistic, with reduced profit-taking activity indicating confidence in Bitcoin’s potential for further price appreciation.
The combination of macroeconomic tailwinds and technical strength positions Bitcoin as a standout asset, highlighting its evolving role as a hedge against economic volatility while attracting sustained institutional and retail interest.