Inland water level and its dynamics are key components in the global water cycle and land surface hydrology, significantly influencing climate variability and water resource management. Satellite observations, in particular altimetry missions, provide inland water level time series for nearly three decades. Space-based remote sensing is regarded as a cost-effective technique that provides measurements of global coverage and homogeneous accuracy in contrast to in-situ sensors. The advent of Open-Loop Tracking Command (OLTC), and Synthetic Aperture Radar (SAR) mode strengthened the use of altimetry missions for inland water level monitoring. However, it is still very challenging to obtain accurate measurements of water level over narrow rivers and small lakes. This scoping systematic literature review summarizes and disseminates the research findings, highlights major results, and presents the limitations regarding inland water level monitoring from satellite observations between 2018 and 2022. Following the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) guideline and through a double screening process, 48 scientific publications were selected meeting the eligibility criteria. To summarize the achievements of the previous 5 years, we present fundamental statistical results of the publications, such as the annual number of publications, scientific journals, keywords, and study regions per continent and type of inland water body. Also, publications associated with specific satellite missions were analyzed. The findings show that Sentinel-3 is the dominant satellite mission, while the ICESat-2 laser altimetry mission has exhibited a high growth trend. Furthermore, publications including radar altimetry missions were charted based on the retracking algorithms, presenting the novel and improved methods of the last five years. Moreover, this review confirms that there is a lack of research on the collaboration of altimetry data with machine learning techniques.