rewrite this title Bitcoin Climbs Past $115,000 on Inflation Relief and ETF Flows, But Bearish Signals Loom

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Bitcoin (BTC) has extended, surging to a three-week high of $115,500, fueled by softer U.S. inflation data and steady inflows into Bitcoin ETFs. The rally coincided with growing investor optimism that the Federal Reserve may deliver a 25 basis-point rate cut next week, further boosting risk appetite.

Resistance Near $116K Raises Concerns

Despite the bullish wave, Bitcoin faced resistance above $116,000, where sellers limited further gains. Analysts noted that rejection at this level emphasizes ongoing market caution. It is believed that the rally indicates renewed sentiment, but the rejection above $116,000 shows that sellers continue to be active.

Derivatives data echoed this caution. The weekly options expiry revealed a put/call ratio of 1.3, signaling that bearish bets slightly outweigh bullish positions. This trend suggests traders expect Bitcoin to remain range-bound, with probable moves limited between $111,000 and $116,000.

Meanwhile, CryptoQuant’s Bull Score Index showed that most market indicators, including the MVRV-Z score and stablecoin liquidity, have turned bearish. Analysts warn that a sudden shift in sentiment could trigger profit-taking and liquidations.

What’s Next for Bitcoin (BTC)?

If Bitcoin achieves a sustained breakout above $116,000, analysts believe the next target could be $118,000, with strong support around $113,700. However, volatility remains a risk as traders wait for the Fed’s upcoming interest rate decision.

Adding to the positive outlook, Sean Ono Lennon, son of music legend John Lennon, recently praised Bitcoin as a hedge against “runaway money printing,” emphasizing its appeal as a scarce, decentralized asset during times of economic uncertainty.