As a website owner, pretty much all traffic I see from Tor is malicious. I also block it outright now, it decreased bad traffic by a lot. So I can understand the decision of CF here. The problem is not Cloudflare or Tor, it's the people abusing Tor.
It happens even when you don't use Tor. It gradually creeps up in frequency the more privacy-friendly settings you use. You get stopped on a bunch of websites nowadays forcing you to run their proprietary JavaScript just to identify and track you to ensure you are not a robot.