Pi Network has experienced a significant decline in double-digit percentages over the past week, even as the broader crypto market shows signs of recovery. The market capitalization of the altcoin has fallen to $4.1 billion as PI continues to face intense selling pressure.
With the strengthening of bearish pressure, the token may soon reach its historical minimum of around $0.40 again.
PI risks a deeper decline.
Despite some strength in the broader market, investor sentiment towards PI remains weak, and technical indicators suggest that its price decline may continue.
The Relative Strength Index (RSI), a key momentum indicator that tracks the overbought and oversold conditions of an asset in the market, continues to decline, indicating a drop in demand and an increase in selling pressure. At the time of publication, the RSI PI is in a downward trend at a level of 39.78. This RSI value indicates a weakening momentum and places the token just above the oversold zone, suggesting that further selling pressure could lead to additional losses.
Additionally, the On-Balance Volume (OBV) of Pi Network has also decreased, indicating a reduction in accumulation and a decline in buyer interest. This indicator is at -1.26 billion at the time of publication, down 15% over the past week. OBV measures buying and selling pressure by tracking volume flow relative to price movement. When OBV falls, as it does in this case, more volume is associated with sales than with purchases. This indicates a weakening of investor confidence and potential for further price declines.
The PI token risks reaching its historical minimum again.
The decline of the Chaikin Money Flow (CMF) indicator for PI supports the bearish outlook above. At the time of publication, this indicator, which tracks how money flows in and out of an asset, is below the zero line at -0.15.
This negative value reflects the strength of selling pressure on the PI spot markets. If this trend continues, PI may again reach its historical minimum of $0.40. However, a bullish reversal in the current trend could push the price of PI to $1.01.#ChaikinMoney #Write2Earn #BinanceSquare #crypto #pi $PEPE