I am actually pleasantly surprised we're getting an arc where Michael and Emma are together... the question is whether this is just going to be a college fling or if they are actually going to be endgame. I unabashedly love the best friends to lovers trope so I was always hoping they would get together at some point.
At the end of the day, Emma is the one choosing to be with Michael or not, yes she might have been told by people she trusts that they would make such a perfect couple... and that remains to be seen if that is true, but ultimately, no one is forcing her to make a choice and put a label on her sexuality. I also like seeing that Michael also showed a lot of growth in his attitudes and beliefs, being supportive and open minded to be there for his best friend, but also not shy away from his feelings that he seems to be developing for her and willingness to be with some of the other trans characters.
Ideally, I would have preferred Michael to try dating Claire or even Kim first after his recent breakup with Elly before going all in with Emma... and then if something happened between them at some point, fine, but it is what it is and we get a lonely, jealous Emma and a horny, open minded Michael deciding to hook up.