Pi Network risks another breakdown as bearish signals align | Credit: Hameem Sarwar
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Key Takeaways
Pi Network has dropped 20% in the past month to $0.36, with price action stuck in a descending channel.
Indicators, including a bearish MACD crossover, consecutive red AO bars, confirm sellers’ dominance.
While the setup is mainly bearish, a breakout above the descending channel could flip momentum.
Pi Network’s (PI) current price action suggests the downtrend is far from over. Bulls have run out of gas, leaving the market vulnerable to a fresh collapse under bearish pressure.
At press time, PI’s price is $0.36, representing a 20% decline over the past month. While the cryptocurrency is oversold, this analysis reveals that the market is not ready to buy the PI dip, which could further cause the cryptocurrency’s value to crash.
Pi Network Faces Pressure
On the 4-hour chart, PI’s price trades within a descending channel — a pattern reflecting persistent selling pressure.
From the look of things, PI is flirting with its immediate support at the channel’s lower boundary. This setup could cause the price to extend its decline toward the next support zone, likely around recent lows.
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Continued weakness would confirm sellers’ dominance and may drag the token further down before buyers step back in. Amid this setup, the Moving Average Convergence Divergence (MACD) has turned bearish.
The 12-day EMA (blue) has crossed below the 26-day EMA (orange), confirming a bearish crossover. This shift signals that downward momentum is strengthening, increasing the risk that PI’s price could extend its decline unless bulls quickly reclaim control.
With resistance at $0.40, PI’s price risks revisiting its all-time low at $0.34. Like the MACD, the Awesome Oscillator (AO) has also formed three consecutive red histogram bars, indicating bearish momentum.
Should this remain the same, the Pi Network cryptocurrency is unlikely to experience respite anytime soon.
PI’s price is consolidating within a falling triangle on the daily chart, reinforcing the bearish setup.
Adding to the downside pressure, the Exponential Moving Averages (EMA) have flashed a bearish crossover, with the 12-day EMA (blue) slipping below the 26-day EMA (orange).
This crossover strengthens the case for continued weakness, signaling that sellers remain in control. If this does not change, PI’s price might struggle to rise above the resistance line.
If this trend holds, the cryptocurrency might not break the resistance at $0.50 but slide to $0.32.
Sometimes, descending channels can end with a bullish breakout. If PI’s price reclaims momentum and pierces above the channel’s upper trendline with convincing volume, it could flip the market structure.
In that case, the first target would be the mid-channel resistance, followed by a push toward the previous swing high of $0.64. If buying pressure increases, the market value could hit $1.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
