Key Takeaways
- CryptoQuant’s Cumulative Volume Delta (CVD) shows a persistent negative trend over the past 90 days for PI.
- The coin has fallen 4.5% in the last 24 hours and is currently trading below $0.1300.
PI expands losses amid weak market conditions
Pi Network (PI) traded in the red on Tuesday, falling below the $0.1300 level as selling pressure intensified across the broader cryptocurrency market.
The token is currently testing a breakdown of the rising support trend line, indicating growing bearish momentum.
Market data shows that sellers maintain a firm grip on the spot market. CryptoQuant’s Taker Cumulative Volume Delta (CVD) has shown a persistent negative trend over the past 90 days, indicating that sell orders have consistently outnumbered buy orders. This pattern indicates continued circulation and weakening demand for PI.
At the same time, overall market sentiment is deteriorating. The CoinMarketCap Fear and Greed Index is currently at 20, reflecting an “extreme fear” situation.
This risk-averse environment often puts a heavy strain on speculative and community-driven assets like the Pi Network.
PI technical analysis indicates a bearish change.
Pi Network extended its bearish structure after falling below the 50-period exponential moving average (EMA) of $0.1335 and the psychological level of $0.1300 on the 4-hours chart.
A break below the rising support trendline near $0.1300 is a key technical development, with a confirmed close below this level potentially validating a bearish reversal.
Post-crash price action now carries greater downside risk towards key Fibonacci levels. The immediate downside focus is on the 78.6% retracement level near $0.1251 based on the move from $0.1532 to $0.1184.
If selling pressure continues, the next support levels include the low near $0.1184 and the 127.2% Fibonacci extension near $0.1103.
Technical momentum indicators continue to favor sellers. The relative strength index (RSI) on the 4-hour chart fell to 38, approaching oversold territory.
Meanwhile, the moving average convergence divergence (MACD) is crossing below its signal line, reinforcing bearish momentum despite the possibility of a short-term technical rebound.
On the positive side, immediate resistance is centered around $0.1300 and is currently in line with the broken trendline.
This is followed by the 50-day EMA at $0.1335 and the 50% Fibonacci retracement level at $0.1346.
Additional resistance levels include the 200-day EMA near $0.1390 and the 78.6% retracement of $0.1441. This must be removed for any meaningful bullish recovery to materialize.