Bitcoin Encounters Key Resistance at $118,000
Bitcoin (BTC) has stalled near the $118,000 mark after gaining approximately 9% from its September 1 low of $107,270. This price ceiling signals substantial selling pressure as market participants defend this level. Michael van de Poppe, founder of MN Capital, described the zone around $117,500 to $118,000 as “crucial resistance,” noting that a decisive break above it could pave the way for a new all-time high.
At the time of writing, Bitcoin was trading near $115,300, with market sentiment balanced between bulls and bears. Traders appear cautious ahead of the Federal Open Market Committee (FOMC) meeting minutes and Federal Reserve Chair Jerome Powell’s upcoming speech, events expected to influence BTC’s short-term trajectory.
Spot Bitcoin ETFs See Sustained Inflows Reflecting Institutional Demand
Spot Bitcoin exchange-traded funds have attracted significant capital, recording inflows for six consecutive trading days. Starting September 8, over $2 billion flowed into these ETFs, including a notable $364 million inflow on the first day and $260 million on Monday. Glassnode reported a net inflow of approximately 5,900 BTC on September 10, the highest daily figure since mid-July, pushing weekly net flows into positive territory.
Data from BitcoinTreasuries.NET reveals that strategic reserves and ETF holdings have surged by 30% in 2025, rising from 2.24 million BTC at the start of the year to 2.88 million BTC as of September 16. This trend underscores an ongoing consolidation of Bitcoin supply within institutional and corporate treasuries.
Market Outlook and Key Levels to Watch
Analysts like AlphaBTC anticipate Bitcoin may test the $118,000 resistance within 24 to 48 hours, possibly followed by a pullback after the FOMC rate decision. The BTC/USDT liquidation heatmap highlights a concentration of liquidations near this level, indicating it as a significant liquidity zone that could attract price action before any retracement.
Investors and traders are advised to monitor how Bitcoin behaves post-FOMC decision, particularly whether it can maintain support above $115,000. A sustained break above $117,500 could increase the likelihood of retesting the all-time high near $124,500.
While ETF inflows and institutional accumulation provide bullish underpinnings, the upcoming Federal Reserve announcements introduce potential volatility and uncertainty in the near term.
This article does not constitute investment advice. All trading involves risk, and readers should perform their own research before making financial decisions.
FinOracleAI — Market View
Bitcoin’s current resistance near $118,000 coupled with strong ETF inflows indicates robust underlying institutional demand, which is a positive driver for price appreciation. However, the imminent FOMC meeting and Fed Chair Powell’s speech introduce uncertainty that could trigger volatility or a short-term pullback. Market participants should watch for a decisive breakout above $117,500 and the post-FOMC price reaction to gauge momentum. The key risks include potential sell pressure if rate hikes or hawkish commentary dampen investor sentiment.
Impact: positive
