Can an enlarged/fatty liver put pressure on diaphragm to cause breathing trouble? what are the possible treatment options?

Yes, need cause: Yes, anything that enlarges the liver can cause pressure on the diaphragm and impact breathing although usually the liver has to be huge, or the lungs damaged, or chest wall abnormal to do so. But enlargement of the liver can be from many causes, each with different treatment approaches. Fatty liver is a serious problem and can lead to cirrhosis.Be sure the diagnosis is clear, and proper rx occurs.

Avoid alcohol: The most common cause of an enlarged, fatty liver that could cause pressure on the diaphragm and associated breathing difficulties is alcohol abuse. If alcohol is the cause in your case, then the most important thing you can do is to completely stop drinking alcohol in all forms. It will also be important to maintain close follow up with your liver specialist whether origin is alcoholic or non-alcoholic.