Bitcoin Struggles to Sustain $105,000, Traders Await US PPI Data

Bitcoin (BTC) has been fluctuating around $103,000, with bulls struggling to maintain upward momentum. Traders are divided on the short-term price gains, with some predicting a return to volatility and others favoring further upside. The lack of fresh US macro cues has contributed to the current consolidation phase, as traders await new economic data to drive the next move.

Despite the recent gains, Bitcoin's momentum has waned, with bulls failing to sustain prices above $105,000. Traders are now eyeing consolidation before the next breakout, with some predicting a move to $120,000 if resistance at $108,000 is broken. Popular trader Byzantine Trader suggested that Bitcoin may move sideways for a while, allowing altcoins to gain traction. Fellow trader Roman agreed that higher highs would come first, despite his belief that the Bitcoin bull market may be nearing its end.

Macro influences have been less pronounced in recent days, with a gap in US inflation data releases. The lower-than-expected Consumer Price Index (CPI) print failed to spark a fresh crypto rally, and traders are now focusing on the Producer Price Index (PPI) numbers due on May 15. The Federal Reserve's hawkish policy has been dictating market expectations, with interest rate cuts in the first half of 2025 being increasingly priced out. According to the analyst's forecast, the Fed's September meeting is now the likely occasion to deliver the next cut, with two rate cuts expected for 2025, down from four just a month prior.