Patel stresses that a weekly close above $112,000 and around $115,300 signals short-term bullishness, while a close below these levels could lead to declines toward $107,000 or even $99,000.

The market's reaction to Powell's guidance and the Fed's communication will be crucial, with Bitcoin's movement within the $114,000–$119,000 range highly sensitive to macroeconomic cues and the tone of Fed officials.

A key resistance level is at $117,500, with a break above $120,000 potentially opening the path to all-time highs near $123,000, which is a significant cap on the daily chart.

Bitcoin's short-term trading plan hinges on its movement relative to key levels like $117,500 and $119,000, with strategies to short above $119,000 before the FOMC and add to shorts if the price drops below $117,500, targeting $112,000 or lower if market structure weakens.

A bullish scenario involves a liquidity sweep to around $113,500, followed by a reversal toward $117,500 and $119,000, with a potential breakout above $120,000 that could push Bitcoin toward its all-time highs near $123,000.

The trader's bias is conditional, suggesting a liquidity sweep to trigger longs if Bitcoin dips sharply to about $113,500, with invalidation below $112,000, and targets at $117,500 and $119,000 before the upcoming FOMC meeting.

The broader macro environment anticipates a 25 basis point rate cut by the Fed on September 17, from 4.50% to 4.25%, with traders closely watching Powell's guidance and the updated dot plot for future policy signals.

Market expectations are centered on the Fed's rate cut, with traders analyzing Powell's tone and the dot plot to gauge future easing, which could influence Bitcoin's price movement.

Trader Patel's approach relies on reacting to key support and resistance levels rather than trying to predict the Fed's decision, emphasizing reactive strategies based on price reactions.

Ahead of the September 17 Fed announcement, analyst Nik Patel has outlined a detailed trading framework for Bitcoin, focusing on key levels between $112,000 and $120,000, with emphasis on weekly closes above $112,000 for bullish momentum.

Trader positioning suggests a reactive approach—buying dips below $112,000 or shorting near $119,000–$120,000—depending on whether the market accepts or rejects key levels.

Bitcoin is currently trading around $115,000, with analysts emphasizing the importance of reclaiming support at approximately $114,000 to maintain bullish momentum.

The overall market remains uncertain, and the direction of Bitcoin's move will likely depend on Powell's tone and the Fed's guidance, with current prices around $115,427.