Pi Network (PI) has decreased by more than 4% in the past 7 days, reflecting a divided market sentiment, with key technical indicators sending mixed signals.
The Directional Movement Index (DMI) indicates that the downward momentum is slowing, opening up the possibility of a trend reversal. Meanwhile, CMF (Chaikin Money Flow) continues to signal light money inflow – a positive factor, even though not very strong.
Notably, the EMA lines are converging, indicating a consolidation phase. The price of PI is currently fluctuating just above the important support zone at $0.601 – a critical boundary for the upcoming trend.
The next developments will depend on whether PI can hold this support level or, conversely, break through nearby resistance levels to establish a clearer recovery trend.
The DMI signal of Pi Network is gradually losing its bearish momentum.
The DMI of Pi Network shows that the ADX indicator – a measure of trend strength – has decreased to 34, down from 44.59 just a day prior.
Previously, ADX surged from 16.89 to above 44 in just three days, reflecting a rapidly forming strong trend. However, the latest drop suggests that the momentum of this trend is weakening.
ADX does not measure the direction of price but only reflects the strength or weakness of the trend. A level below 20 indicates a sideways market or lack of a clear trend, while above 25 indicates a trend with strength.
With ADX still above 30, it can be confirmed that Pi Network remains in a distinct trend – but momentum is stalling, indicating a risk of correction or consolidation in the short term.
Considering the directional indicators, buying pressure is showing significant signs of increase. The +DI index has surged to 20.89 from just 4 points two days ago, indicating that buying pressure is returning to the market.
Conversely, -DI (representing selling strength) has dropped sharply to 32.68 after hitting a peak of 70.57 just three days ago. This development signals that the downward momentum is rapidly weakening, reflecting a loss of advantage for sellers.
The narrowing gap between +DI and -DI, especially in the context of increasing buying strength, could signal a shift in market sentiment. If this trend continues – with +DI maintaining its upward momentum and -DI continuing to decrease, Pi Network is likely to enter a recovery phase or at least a neutral stage following the recent sell-off.
CMF PI shows light buying pressure.
The Chaikin Money Flow (CMF) indicator of Pi Network is currently recorded at 0.07 – down from a recent peak of 0.19 two days ago, but still higher than the -0.05 level set three days ago.
CMF is a tool for measuring accumulation or distribution of money, combining price and trading volume to determine whether money is flowing into or out of the market. Positive CMF values reflect buying pressure, while negative values indicate that selling pressure is dominant.
Typically, levels exceeding +0.1 or falling below -0.1 are considered strong signals for accumulation or distribution.
The current CMF level of PI at 0.07 indicates light but positive buying pressure.
Although not strong enough to confirm robust accumulation activity, it shows that capital is still flowing into the asset, although not as strongly as two days ago.
If CMF continues to hold above 0, it could support stability or a gradual recovery in price. However, if it falls below 0, it could signal weakening demand and potential downside risk.
Is Pi Network about to recover or continue to decline?
The EMA line of Pi Network currently indicates a consolidation phase, following a recovery from a sharp decline due to escalating conflict between Israel and Iran.
Price action is fluctuating just above the important support level of $0.601. If this level is broken, the price of PI could drop to $0.542, and if the decline accelerates, it could fall further to $0.4.
This structure reflects uncertainty, with no clear bullish or bearish control at this moment.
On a positive note, if PI breaks through the resistance levels at $0.647 and $0.658, it could trigger a new upward trend.
If the breakout is successful at these levels, PI could open the door for a move towards $0.796.
The current EMA setup supports a neutral stance, awaiting a decisive move in either direction.
