Bitcoin Surges Above $115K After Powell’s Jackson Hole Speech, Eyes Q4 Rally

• After Powell’s Jackson Hole speech, Bitcoin jumped above $115,000, and traders see strong upside.

• Historical trends show rallies often follow September volatility, and Q4 could repeat the pattern.

• Support is holding near $112,000 with targets at $123,000 and $126,500 if $118,000 breaks.

Bitcoin broke above $115,000 after Federal Reserve Chair Jerome Powell’s speech at Jackson Hole, reigniting optimism of another strong rally heading into Q4. Traders view the move as a confirmation of bullish technical structure, while historical trends suggest that further upside may be in play.

Market Reaction to Powell’s Comments

Powell pointed to weakness in the labor market and acknowledged that downside risks to growth now outweigh inflation concerns. He also signaled that rate cuts could be on the table as early as September. The remarks shifted sentiment across financial markets, lifting risk assets and boosting demand for Bitcoin.

Investors interpreted the Fed’s softer stance as a pivot toward looser monetary policy. Bitcoin’s immediate surge past $116,000 reflects this shift, with the move confirming support near $112,000. Traders now closely watch whether BTC can break above the $118,000 resistance level.

Crypto analysts note that Bitcoin has shown a consistent volatility pattern in September following Powell’s Jackson Hole addresses, often leading to strong rallies in Q4. In 2023, BTC rose nearly 200% after the speech. In 2024, the rally delivered more than 100% gains.

BTC/USD 3-Day Chart (Source: X/CryptoRover)

This year, analysts point to the same setup. Current charts highlight an accumulation phase between $112,000 and $118,000. Fibonacci extensions place potential targets at $123,000 and $126,500. A decisive move above $118,000 could open the door to further gains, with some projections suggesting more than 70% upside.

Technical Support Strengthens Outlook

On the one-day chart, Bitcoin validated an inverse head-and-shoulder pattern. The neckline, which is nearly $112,000, has acted as a firm base. In addition, the 50-day EMA provides support around $114,800, signaling sustained buying interest.

BTC/USD 1-Day Chart (Source: TradingView)

This technical alignment supports the view that Bitcoin is building momentum for another breakout. If the current range holds, analysts argue that continuing toward higher levels is likely, especially with macroeconomic conditions becoming more favorable for risk assets.

Powell’s comments also influenced broader crypto markets, as traders priced in the potential of rate cuts. Historically, dovish shifts at Jackson Hole have been followed by significant rallies across digital assets. With inflation pressures easing and growth concerns rising, investors expect that monetary policy will stay accommodative.

The current setup places Bitcoin in a favorable position for Q4. If historical trends repeat, the coming months could see another substantial rally. Traders remain cautious of September volatility, but the structure suggests that upside potential is intact.