Despite the near-term hesitation, Bitcoin has posted two straight weeks of gains, sitting around 8% above its August 30 low. Importantly, BTC reclaimed the $115,000 level, which traders like Titan of Crypto flagged as a key barrier on the weekly chart. Historically, breaks above this level, especially when supported by bullish Ichimoku Cloud signals, have often sparked sustained rallies. Earlier this year, a similar move helped propel Bitcoin to record highs above $124,500.

Still, Monday brought a pause, with Bitcoin dipping back below $115,000. The pullback is also being felt across altcoins, as Ethereum and XRP led declines in the wider market. Yet institutional demand remains encouraging. U.S. spot Bitcoin ETFs recorded $2.34 billion in inflows last week, pushing cumulative inflows above $56.8 billion and total net assets to roughly $153 billion. Ethereum ETFs also saw strong participation, gaining $638 million and boosting cumulative inflows to more than $13 billion. XRP, meanwhile, continues to attract retail traders, with futures open interest still high at $8.7 billion.

Market attention is now shifting to Wednesday’s Federal Reserve decision. The Fed is widely expected to cut interest rates, with a 94% chance of a 0.25 percentage point reduction and a smaller probability of a 0.50 point cut. Lower borrowing costs would likely boost appetite for risk assets, potentially setting the stage for a bullish fourth quarter in cryptocurrencies.

From a technical perspective, Bitcoin’s Relative Strength Index (RSI) has cooled to 55, showing easing momentum but still leaving room for upside. A move back toward overbought levels could support another push toward $120,000. At the same time, the Moving Average Convergence Divergence (MACD) indicator remains bullish, with its blue line holding above the signal line. Key supports lie at the 50-day EMA around $113,399 and the 100-day EMA at $111,281, which could help stabilize any correction.

For traders, the current setup suggests patience may pay off. Buying at resistance carries risks given indecision and profit-taking. A more strategic approach would be to watch for dips toward $112,000–$113,000 or EMA supports before entering new long positions. If the Fed confirms a rate cut this week, momentum could shift quickly, making Bitcoin well-positioned for a potential breakout above $120,000 in the coming weeks.