Altcoin Pi Network (PI) is showing signs of weakening after the support zone at $0.47 flipped into resistance. The move indicates a loss of buying momentum and increasing selling pressure.
Since closing at $0.46 on July 4, PI has failed to break above the $0.47 level. The inability to break above this barrier has reinforced the presence of sellers and limited recovery attempts.
Technical indicators point to a bearish scenario. The current price is below the Ichimoku Cloud Leadership Lines A and B, which are now acting as dynamic resistances at $0.51 and $0.63, respectively.
PI Ichimoku Cloud. Source: TradingView
The Ichimoku Cloud measures the momentum and direction of market trends. When an asset’s price is above the cloud, the outlook is likely to be positive; below it, the movement is considered bearish, which is currently the case with the Ichimoku Cloud.
SMI index reinforces unfavorable scenario
Furthermore, another indicator that reinforces the bearish bias is the Smart Money Index (SMI), which monitors the activity of institutional and experienced investors. Since June 25, the PI Network SMI has been falling continuously, and currently stands at 1.22. This represents a 9% decline.
PI SMI. Source: TradingView
In fact, when the SMI falls, it means that these investors are selling, reducing their exposure to the asset and indicating less confidence in a price reversal in the short term.
What to expect from Pi Network pricing?
The continuation of this negative trend could lead PI to lose the current support at $0.44, with a possible drop to its all-time low of $0.40. Should there be an increase in buying pressure, the token could attempt to break through the resistance at $0.47 again, with a possible advance to $0.50.
Furthermore, the scenario depends on the balance between sales activity and the return of new investors to the market. As long as the buying volume remains weak, the outlook remains negative.
PI Price Analysis. Source: TradingView
The article Pi Network Analysis: Coin Faces Selling Pressure at $0.47 was first seen on BeInCrypto Brasil.