The native token of Pi Network has traded sideways since June 7, following a prolonged period of continuous decline. The current price action reflects a tug-of-war between buyers and sellers, with neither side demonstrating enough confidence to create a breakout. This consolidation phase indicates that traders are waiting for a catalyst to push the token price aggressively in either direction.
Pi Network is working to regain momentum
Technical indicators for PI show a market stall, with buyers and sellers refraining from making significant moves. This has led to poor performance over the past week, causing this token to maintain a sideways trend.
For example, the Relative Strength Index (RSI) of PI has remained unchanged for nearly a week, indicating a lack of momentum in the market. At the time of reporting, this momentum indicator was at 40.96.
The RSI indicator measures the overbought and oversold conditions of an asset. This indicator oscillates between 0 and 100. Values above 70 indicate that the asset is overbought and the price will drop, while values below 30 indicate that the asset is oversold and may see a recovery.
When the RSI of an asset is flat, it indicates little change in buying or selling momentum, signaling market indecision. It highlights the balance between bullish and bearish forces, with neither side dominating price action.
However, the bears seem to still have the upper hand despite this. At the time of writing, PI is trading below the 20-day Exponential Moving Average (EMA), a key indicator of short-term trend direction.
The 20-day EMA measures the average price of an asset over the last 20 trading days, giving more weight to recent prices. The continuous position of PI below this important moving average indicates that buyer activity remains low. If sentiment does not improve, this token is vulnerable to further declines or prolonged consolidation.
PI fluctuates at $0.63 as Bears Eye breakdown towards $0.57
Currently, PI is trading at $0.62. The revival of the sell-off could trigger a breakdown below its price range and drop to $0.60. If this support level does not hold, the price decline could reach $0.57.
However, new demand entering the market could push the price of PI Network up to $0.65.