As PI price dips to $0.58, shrinking volume and bearish signals raise red flags for a deeper correction | Credit: Hameem Sarwar
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Key Takeaways
PI’s trading volume has plunged from over $3.5 billion in February to under $40 million, signaling weak interest.
Bollinger Bands contraction and negative Awesome Oscillator show low volatility and bearish momentum.
PI’s price could drop to $0.40 without renewed demand, though a volume spike might push it toward $1.
The trading volume of PI, Pi Network’s native coin, has plunged to its lowest level since it went live in February.
This sharp drop follows an 80% decline in price from its all-time high of $2.99, which was reached shortly after trading began.
While some may believe PI has bottomed out, technical indicators suggest otherwise. Here’s why the PI coin price may not be done falling yet.
Interest in PI Wanes
On Feb. 26, PI’s trading volume surged above $3.5 billion. This spike happened as the project made the coin tradable after millions of users had waited years.
Today, the same volume at billions has dropped below $40 million, according to data from Santiment. The drop in trading volume indicates low buying and selling of PI.
It also implies that the broader market interest in cryptocurrency is fading compared to the launch in February. PI’s price hovers around $0.58 at press time, representing a 10% decline within the last seven days.
Sometimes, the drop in volume alongside price indicates weak selling pressure and a chance for a bullish reversal. But that mostly happens when traders begin to buy the dip as sellers get exhausted.
But in this case, demand has remained extremely low. Therefore, if PI’s trading volume continues to fall, it is likely that the price might also follow in the same direction.
Furthermore, the 4-hour PI/USD chart also supports the move. The image below shows that the Bollinger Bands (BB) have contracted, indicating low volatility.
With the BB squeezing, PI’s price will likely keep consolidating around the same region. However, the Awesome Oscillator (AO) reading has dropped to the negative region at -0.0073.
The AO measures momentum by comparing recent and historic price movements. When it is positive, momentum is bullish.
Since it is negative as of this writing, it indicates bearish momentum. Should this trend remain the same, the PI coin price will likely continue trading sideways or drop below $0.58.
On the daily chart, PI’s price is still below the 20-day Exponential Moving Average (EMA) (blue), which means that the trend around the coin is weak, especially as the indicator acts as key support.
Also, the Bull Bear Power (BBP) shows a negative reading. This negative reading indicates bears are in control of PI’s price action.
Should bulls fail to take control, the trend around the cryptocurrency might remain bearish. Regarding the price targets, PI might experience a drop toward $0.40 in the short term.
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.
