BTC rally gains momentum, but macro risks loom
Bitcoin (BTC) has surged past the $117,000 mark, marking a significant technical breakout just days before the Federal Reserve’s upcoming FOMC policy meeting. The move underscores renewed bullish momentum, but analysts caution that macroeconomic uncertainty could add volatility in the near term.
The daily chart shows Bitcoin breaking out of a falling wedge pattern, reclaiming the $117,000 resistance level with strong momentum. The breakout comes after BTC successfully held support around the $110,000–$111,000 demand zone, where buyers repeatedly stepped in over the past two weeks.
Currently trading near $117,200, Bitcoin is approaching a supply zone between $118,000 and $120,000, which previously triggered sharp rejections in July. A sustained move above $120,000 could open the door toward the $124,000 level, last seen earlier this summer.
On the downside, immediate support rests at $113,000–$114,000, with stronger backing near $109,000.
“Breaking $117K ahead of the Fed meeting is a strong technical signal, but the real test lies in whether Bitcoin can hold gains through macro uncertainty,”.
BITX analyst pointed out that institutional flows remain supportive: “The breakout aligns with broader risk-on sentiment, but if the Fed signals tighter policy, we could see a short-term pullback.”
Investors are closely watching the Fed’s stance on inflation and interest rates, with expectations split between a rate pause and hints of future tightening. Bitcoin has historically reacted sharply to Fed communications, making the upcoming meeting a critical driver for short-term direction.
For now, Bitcoin’s breakout above $117K strengthens the bullish case, but traders remain cautious as the FOMC decision could set the tone for Q4 markets.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.