Required containers
- CryptoQuant’s taker Cumulative Volume Delta (CVD) shows a trend of over 90 days PI.
- The coin has fallen by 4.5% in the last 24 hours and is now trading below $0.1300.
PI magnifies losses during weak markets
Pi Network (PI) traded in the red on Tuesday, falling below the $0.1300 level as trading pressure intensified in the crypto market.
The indicator is now testing the breakdown of the rising support channel, indicating strong bearish growth.
Market data shows that sellers remain dominant in the real estate market. CryptoQuant’s taker Cumulative Volume Delta (CVD) shows a steady trend over the past 90 days, indicating that sell orders are exceeding buy orders. This method shows a continuous distribution and weakens the importance of PI.
At the same time, the general market sentiment is deteriorating. The CoinMarketCap Fear and Greed Index currently sitting at 20, showing “Very Fearful” conditions.
Dangerous communities like these are often heavily influenced by speculative and human-driven activities such as the Pi Network.
The technical breakdown of PI shows a dynamic change
Pi Network has extended its bearish outlook after falling below the 50-period Exponential Moving Average (EMA) at $0.1335 on the 4-hour chart, as well as the $0.1300 emotional level.
A break below the support line that is rising near $0.1300 is a major technical development, and a confirmation below this level can confirm a bearish reversal.
After the breakdown, price action is now risking a major downside at key Fibonacci levels. The immediate focus is on the 78.6% retracement level near $0.1251, based on the move from $0.1532 to $0.1184.
If the selling pressure continues, the following levels include a low of $0.1184, followed by a 127.2% Fibonacci retracement of around $0.1103.
Strong technical indicators continue to favor sellers. The Relative Strength Index (RSI) on the 4-hour chart has dropped to 38, approaching an oversold level.
Meanwhile, the Moving Average Convergence Divergence (MACD) has crossed below the signal line, strengthening bearish power despite the short-term technical potential.
On the other hand, the long-term resistance is gathered around the $0.1300 area, which is now in line with the breakout pattern.
This is followed by the 50 EMA at $0.1335 and the 50% Fibonacci retracement level at $0.1346.
Other resistance levels include the 200-time EMA near $0.1390 and the 78.6% retracement at $0.1441, which may need to be cleared for any direction to be seen.
