On May 12, 2023, Bitcoin (BTC) entered a narrow range after breaking through $105,000, with the price at approximately $104,200 at the time of writing, a 24-hour increase of 0.3%, and a weekly increase of over 10%. The market is influenced by the easing of US-China trade negotiations and the Federal Reserve's maintained interest rate expectations (82.7% probability), leading to an overall optimistic sentiment, with the Fear and Greed Index reaching 70 (Greed).

From a technical perspective, BTC has short-term support at $104,000 and resistance at $106,405. The MACD and RSI indicators show contradictions, indicating a risk of a pullback. Institutional funds continue to flow in, with the Bitcoin ETF scale surpassing $118 billion, and Goldman Sachs increasing its holdings in iShares Bitcoin ETF (IBIT) by 28%, boosting market confidence. Analysts expect that if it breaks through $106,000, BTC may challenge a new high of $122,000.

In the short term, attention should be paid to US CPI data and details of trade negotiations, while being wary of the risks of high-leverage short positions being liquidated.