So we do not know when ink level monitoring began to malfunction after resetting. It could have been functioning properly on the first reset but not thereafter or it could never have been functioning properly with any reset. Unfortunately this does not narrow down the source of your issue. However you can accelerate figuring out where the problem lies because you have a known properly functioning, new, never reset Yellow cartridge
Consider resetting and refilling all the cartridges EXCEPT the Yellow and see how it goes to get an answer quickly. Maybe resetting the chips AFTER the firmware upgrade will make a difference. If not then consider reflashing v1.1, or down-flashing to v1.02, or upgrading to v1.2.
You are sure the version of the firmware update you were using? Where did you get the firmware?
The other interesting point will be what happens after you reset the known properly working Yellow you are using currently. If the reset Yellow cartridge has proper ink level monitoring but the other cartridges do no despite having a new reset themselves, then the old cartridges (not the Yellow) have malfunctioning chips and you should consider getting new cartridges. Why the old ones are bad is for conjecture once we know the results of these tests I have explained so far.
If none of this resolves your issue then contact the entity you purchased the resetter, explain what's happening, and ask for a replacement resetter. I highly doubt the printer ink level monitoring being disabled has caused the issue since the the new OEM Yellow appears to be working properly. Since you are probably not the only one to have disabled ink level monitoring and then later on bought and used the identical resetter, it makes it less likely disabling ink level monitoring is the cause due to lack of reports by others AND Canon has publicly stated this bug and offered firmware update fix.
Was the Yellow cartridge ink level monitoring working properly BEFORE you flashed the firmware? Exactly when in relation to the firmware flash did you first note the Yellow ink monitoring functioning properly?