Yesterday, PI Network’s PI token plummeted to a new all-time low of $0.18 after decisively breaking below the long-held $0.32 support level.
This level had served as a robust barrier for weeks, preventing further losses. Its failure has now raised concerns about a renewed bearish phase for the altcoin.
Bears Take Control as PI Falls
Sponsored
Sponsored
The $0.32 floor was first established on August 1 and endured multiple tests without giving way.
However, as ongoing PI token unlocks increased its circulating supply without a corresponding rise in demand, this support gradually weakened before ultimately collapsing yesterday, resulting in a new all-time low.
This drop indicates that sellers have firmly reclaimed market control. While PI has seen a modest recovery in the past 24 hours, this rebound may be short-lived given the rising bearish sentiment around the token.
Sellers Dominate PI Markets
The bearish crossover of PI’s Moving Average Convergence Divergence (MACD) emphasizes this market shift.
For token TA and market updates: Looking for more insights? Sign up for Editor Harsh Notariya’s Daily Crypto Newsletter here.
The MACD indicator assists traders in assessing momentum by comparing short-term and long-term price movements. A bearish crossover occurs when the MACD line (blue) crosses below the signal line (orange), signaling that downward momentum has surpassed bullish strength.
Sponsored
Sponsored
For PI, this implies that the overall trend favors sellers. Consequently, short-term rallies might encounter significant resistance.
Moreover, the token’s negative Balance of Power (BoP) reinforces this pessimistic outlook, currently at -0.35, indicating weak buying pressure.
The BoP indicator evaluates the strength of buying versus selling pressure, revealing which side dominates price movements.
A negative BoP reading, as observed with PI, indicates strengthening sell-side pressure, increasing the likelihood of further declines.
Can PI Maintain $0.27 or Will Sellers Trigger Another Breakdown?
Currently, PI is trading at $0.27, above its new all-time low of $0.18. PI could retest this low if seller confidence increases and token distribution persists. If bulls cannot defend this level, it may lead to deeper declines.
However, if buyers re-enter the market, they could try to break above the previous all-time high of $0.32, which now serves as resistance for PI’s price. If successful, the token might rise toward $0.43.
