Pi Network (PI) Price Analysis: $0.75 Target in Sight?
Pi Network (PI) experienced a turbulent period in March, with prices falling to $0.40 after an earlier prediction of a drop to $0.64. While a significant 99% price bounce occurred on April 5th in a 6-hour timeframe, the overall trend remains uncertain. The $0.75 mark presents a crucial short-term resistance level.
Pi Network Retests Resistance: Bulls Rebuffed
Despite the recent price increase, the $0.738 resistance level (from March) proved too strong for buyers. While a brief surge to $0.80 occurred, selling pressure quickly followed, suggesting bearish dominance. The market could be entering a consolidation phase, with prices potentially fluctuating between $0.55 and $0.75 in the short term.
However, continued strong selling pressure casts doubt on range-bound price action. The Chaikin Money Flow (CMF) indicator has remained below -0.05 for the past week, signaling significant capital outflow. Unless this selling pressure eases, a sustained rally will prove difficult. Interestingly, while the Relative Strength Index (RSI) is above 50, suggesting bullish momentum, true bullish strength remains elusive.
Open Interest has increased over the past three days, indicating speculative interest and potentially short-term bullish conviction. However, the bearish Funding Rate suggests a more complex picture. A short squeeze could trap bullish speculators. Alternatively, reclaiming $0.75 as support is crucial for a potential recovery. This will depend on the continued reduction of selling pressure.
Factors Affecting Pi Network's Price:
- RSI above 50: Suggests potential bullish momentum, but this could be a false signal.
- Capital outflow and bearish funding rate: Indicate significant selling pressure and bearish sentiment.
- $0.75 resistance: A key level that needs to be overcome for a sustained rally.
- Centralization concerns: Ongoing worries about centralization continue to exert downward pressure on the price.
Codeum's blockchain security expertise ensures the integrity and reliability of blockchain projects. Our services include smart contract audits, KYC verification, custom smart contract and DApp development, tokenomics and security consultation, and partnerships with launchpads and crypto agencies. Contact us to learn how we can help secure your next blockchain venture.
Disclaimer: This analysis is for informational purposes only and does not constitute financial advice.