After a strong rally since early April 2024, Bitcoin (BTC) hit a record high of nearly $112,000 on May 23 – up more than 50% from its low of around $73,000 in early April. However, analysts say the rapid rally is causing the market to take a breather, with buyer sentiment starting to wane and buying power dwindling in the short term.

One of the clearest signs of “weakening momentum” comes from the Relative Strength Index (RSI) – a popular technical indicator that measures whether a market is overbought or oversold. According to data from Glassnode, BTC’s daily RSI has dropped from a high of 79.6 (overbought territory) to 67 – indicating that the bullish momentum has cooled off, reflecting buyer fatigue after a series of consecutive breakout days.

In addition, another indicator that is drawing attention is the perpetual CVD (Cumulative Volume Delta) in the futures market. CVD measures the cumulative difference between buy and sell order volume. Over the past few days, the perpetual CVD has plummeted by 43%, from -$425.4 million to -$608.2 million – a signal that selling pressure is dominating the derivatives market. This suggests that many traders are shifting to a more cautious strategy, refraining from chasing prices and waiting for a more suitable entry point.

However, not all signals are negative. BTC has remained stable above the key support level of $106,000 throughout the past week – a sign of investor confidence in its long-term growth potential. Analyst AlphaBTC points out that BTC is trading within an ascending channel on the 12-hour chart, and if the current momentum is maintained, the price could target $120,000 in the near term.

Michael van de Poppe, founder of MN Capital, believes that BTC could retest the $102,000 support zone before bouncing back, with the next levels being $115,000 and beyond. “We are still in an uptrend,” he said.

Technical analysts also use tools like Fibonacci to make long-term forecasts. Titan of Crypto predicts that Bitcoin's next cycle peak could reach $135,000 if the bullish pattern from early 2024 is repeated. Meanwhile, prominent analyst Rekt Capital believes that BTC is entering a "Price Discovery Bull Trend 2" phase, similar to the period from January to March this year when BTC rose from over $38,000 to over $73,000 - the previous peak.

If a similar pattern is repeated, many analysts believe that Bitcoin could very well head towards the $150,000 price range in the coming period, especially as macro factors such as institutional investor inflows, ETF products, and supply scarcity continue to support prices.

In conclusion, although Bitcoin is temporarily slowing down after reaching a new peak, long-term technical signals and bullish sentiment from analysts still show significant growth potential. As long as BTC holds strategic support zones like $106,000 and $102,000, the prospect of a new bull cycle with a target of $135,000–$150,000 remains very viable.