Yeah, it could easily be down to disk space, either the overall disk capacity or the the specified size of your Temp folder. However, it's impossible to say this for sure without some more info about how much capacity you have left, details of your temp folder etc.
Do you record in Multitrack view or Waveform? I'd suggest Multitrack (even if you only use 1 track) because that goes straight to disk rather than to a Temp file you have to save later and can also cope with larger files than Waveform, at least in some operating system.
