Pi Coin has experienced significant price volatility recently, undergoing a substantial decline bringing its price close to a critical support level. Despite this drop, this altcoin remains above its all-time low (ATL). The capital inflow from investors is currently creating the necessary momentum for Pi Coin's recovery.
The Pi Network is Gaining More Attention
The current market sentiment towards Pi Coin has shown some positive signs. The Moving Average Convergence Divergence (MACD) indicator indicates that the downward momentum has no clear signs yet.
A strong recent bullish crossover, accompanied by green bars on the chart, indicates that Pi Coin still has recovery potential. This is an important development, suggesting that this altcoin may regain upward momentum and potentially avoid a drop to new all-time lows (ATL).
Pi Coin's MACD Indicator. Source: TradingView
The upward momentum of Pi Coin is also showing signs of improvement, as indicated by the Chaikin Money Flow (CMF). The CMF has seen a strong increase, indicating that the inflow momentum into this altcoin is rising.
Although the indicator remains below the zero line, the upward trend suggests that Pi Coin is regaining upward momentum. This could be a crucial factor helping this altcoin maintain its price above the support level and prevent a decline to new lows.
Furthermore, the increasing participation of investors in Pi Coin is a positive sign indicating its recovery potential. As more investors show interest in this token, it can create a stable foundation for future price increases.
This influx of funds may also support the altcoin in breaking through resistance levels, leading to potential price recovery.
Pi Coin's CMF. Source: TradingView
Pi Coin Price Seeks Support
Pi Coin has decreased by 9.7% in the past four days, trading at $0.442 at the time of writing. Recently, the price has reached a local support level of $0.440 and is holding steady.
An important factor for the recovery of Pi Coin will be the ability to rebound from the support level of $0.440 and establish a new support level at $0.450. This could pave the way for price recovery, pushing Pi Coin up to $0.493 and helping the coin recover the losses it has suffered in recent days.
Pi Coin Price Analysis. Source: TradingView
However, if investor sentiment shifts from accumulation to selling, Pi Coin may face the risk of further downward pressure. If the price drops below $0.440, this altcoin may test the all-time low of $0.400. Currently, Pi Coin is only 9.6% away from this level, and if selling pressure increases, the price could reach the ATL once again.
