Pi Coin has been struggling to gain traction since the end of November. After peaking at the end of the month, the price has lost approximately 28% of its value, wiping out a large portion of its previous gains. In just the last seven days, the loss in Pi Coin is around 8.6%; in the last three months, the total value loss has exceeded 40%.
However, despite the recent weakness, new chart data indicates that a different dynamic has started to form beneath the surface. Momentum pressure has begun to change direction. So, is this correction movement signaling a pause? Is it time to take a breath or is the direction completely changing? Let's examine together!
Momentum Pressure is Decreasing But Buyers Are Still Cautious
On the daily chart, Pi Coin formed a hidden bullish divergence between November 4 and December 11. During this period, while the price made a higher low, the Relative Strength Index (RSI) made a lower low. RSI shows momentum by measuring the speed of buying and selling. If the price is held above while momentum weakens, it usually indicates that selling pressure is decreasing.
Are such token analyses of interest to you? You can subscribe for free to Editor Harsh Notariya's daily crypto newsletter here.
Such divergences are typically seen as approaching the end of sharp declines. While it is not a definitive signal of a reversal on its own, it indicates that selling pressure is changing hands and that a reaction buy may come soon.
However, momentum alone is not enough. The Chaikin Money Flow (CMF) indicator, which tracks large buyers and sellers in volume movements, still advises caution. The CMF has approached a declining trend line that connects lower lows and is also below the zero level. In other words, large cash flows have not turned in favor of Pi Coin.
In short, selling pressure seems to have decreased, but large buyers are not fully entering the picture. This keeps any potential recovery fragile. Until cash flow strengthens, there may be resistance to upward attempts. Additionally, if the CMF dips below the trend line, the recovery scenario prepared for Pi Network coin could be completely disrupted.
Pi Coin Price Levels: What's Next?
The PI price chart is now at a critical decision point. To discuss a possible recovery, Pi Coin needs to reclaim the $0.222 region. Breaking this level represents about a 7% rise and signals that buyers have become active in the market at a higher price. In such a case, the price may try to rise to $0.244 and even to $0.253 if market conditions are favorable.
However, only the $0.284 level (the late November peak) may indicate a real upward reversal attempt. That point seems quite distant for now.
Support is positioned just below the current price. The $0.203 region is quite critical. A daily close below this level weakens the expectation of a recovery and opens the way for sellers. If this support is broken, Pi Coin may test even lower levels and take the correction to a new phase.
The expectation of a recovery is strengthened only when the CMF approaches zero while the price is rising. Without that confirmation, upward attempts may quickly lose strength.