Pi Coin has faced issues since late November. After reaching a peak near the end of the month, the price dropped by about 28%, erasing most of the profits made earlier. In the past seven days, Pi Coin has decreased by approximately 8.6%, and looking at the three-month period, the current losses have exceeded 40%.
Although there has been continued weakness, the latest chart data shows new signs starting to form beneath the surface. Momentum pressure is beginning to change direction, or it may be close to a pause in the retracement. Thus, the question arises whether this pause will lead to a rebound or completely change the trend. It's time to keep an eye on it.
Momentum pressure is starting to ease, but buyers are still hesitant.
On the daily chart, Pi Coin formed a hidden bullish divergence between November 4 and December 11. During this period, prices made higher lows while the Relative Strength Index (RSI) made lower lows. The RSI measures momentum strength through the speed of buying and selling, and when prices are rising while momentum is weakening, it often indicates that selling pressure is starting to weaken.
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This type of divergence generally occurs towards the end of a severe downtrend, but even a single pattern cannot confirm a reversal. However, it will lead to a rebound attempt when sellers start to lose control.
However, momentum alone is still not enough. The Chaikin Money Flow index, which tracks whether large buyers or sellers are dominating trading volume, continues to signal caution because the CMF is still moving close to the downward trend line (connecting lower lows) and remains below the zero line, indicating that large investment flows are not yet supporting Pi Coin at this time.
In summary, selling pressure seems to be easing, but large buyers have not yet fully decided to buy. This keeps the rebound opportunity fragile as long as the cash flow does not recover. Attempts to push prices up may encounter resistance, and if the CMF drops below the trendline, the setup for a bounce (but not a reversal) for Pi Network coins may be rendered completely inoperable.
The price level of Pi Coin indicates future direction.
Currently, the price chart of PI is at a decision point. The recovery structure will strengthen when Pi Coin can hold above the 0.222 USD level again. If the price can remain above this level continuously, it would represent an upward adjustment of about 7% and indicate that buyers are ready to protect the higher price level again. Therefore, if this event occurs, the price has the potential to reach 0.244 USD and may even hit 0.253 USD if the overall market conditions stabilize.
Only a price movement above 0.284 USD (the peak at the end of November) may indicate a short-term reversal attempt, which currently seems to be far away.
Support remains slightly below the current level, with the 0.203 USD zone being crucial. A daily close below 0.203 USD would significantly worsen the recovery scenario and put it at risk of falling again. If that level breaks, Pi Coin may have to test lower price areas, leading to a new wave of retracement.
The recovery trend will be stronger if the price can rise while the CMF surges to touch zero. However, without such confirmation signals, the attempts to move positively are at risk of stalling quickly.
