Bitcoin shows signs of 'easing momentum' but traders still expect $150K

Bitcoin Momentum Slows, but Traders Eye $150K Target

Bitcoin’s upward climb has decelerated, yet market optimism persists as traders project a potential rise to $150,000. Despite signs of weakening momentum, institutional interest and technical indicators suggest the rally may have further to go, though near-term challenges remain.

Signs of a Slowdown

As of May 27, 2025, Bitcoin hovers around $110,000, struggling to maintain its recent bullish streak. The Relative Strength Index (RSI) on higher timeframes indicates overbought conditions, with some traders noting a decline in trading volume as a sign of fading momentum. Posts on X reflect this sentiment, with users pointing to a lack of retail FOMO—Google search interest for Bitcoin remains well below its 2021 peak. Short-term holders are also taking profits, adding selling pressure that could push prices toward support levels between $100,000 and $102,500 if the $110,000 resistance holds firm.

Institutional Confidence Fuels Optimism

Despite the slowdown, institutional investors remain bullish. Spot Bitcoin ETFs have seen consistent inflows, with recent data showing $2.75 billion added in the past week alone, driven largely by BlackRock’s IBIT. The BTC futures premium on CME hit 8% on May 26, signaling strong leveraged long positions by institutions. This accumulation is tightening supply on exchanges, a trend some analysts believe could propel prices higher. On X, users have noted this “digital gold” narrative gaining traction among both institutions and retail, with whales snapping up dips around $100,000-$104,000, reflecting solid support.

Traders’ $150K Prediction

Traders are optimistic about Bitcoin reaching $150,000, driven by historical patterns and market fundamentals. A golden cross on the daily chart—where the 50-day moving average crosses above the 200-day moving average—has historically preceded significant rallies, with past instances leading to 45%-60% gains. Analysts also point to Bitcoin’s potential for a price discovery phase above $110,000, where uncharted territory could drive successive higher highs. However, macroeconomic factors, such as upcoming U.S. inflation data on May 30, could impact this trajectory, especially if they signal tighter monetary policy.

Risks and Outlook

The absence of retail enthusiasm and overbought technicals pose risks of a near-term correction. Excessive leverage in futures markets, with open interest at record highs, could amplify volatility if liquidated positions trigger a cascade of selling. Yet, the sustained institutional buying and Bitcoin’s growing recognition as a hedge against traditional financial instability—highlighted by recent Japanese bond market turbulence—support the case for a longer-term rally. Traders remain divided: while $150,000 is in sight, a failure to break $112,000 soon could see prices retreat before the next leg up.