Pi Coin’s recent upward momentum is starting to subside, with the altcoin facing a 5% decline in the past 24 hours. Price gains earlier this week are facing short-term resistance as capital inflows show signs of saturation.
This change suggests that the strong purchasing activity that supported the rise may slow in the short term.
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Pi coin is facing some weakness
Chaikin money flow has been declining since touching the 0.15 level, indicating weakening capital inflows.
CMF tracks funds entering and exiting assets, and 0.20 is typically considered the saturation point, but Pi Coin’s threshold appears to be lower. Historically, above 0.15 has often resulted in both a price reversal and a decline in net flows.
Once CMF crosses this zone, this pattern is likely to repeat as Pi Coin struggles to sustain inflows.
The renewed decline in capital could push prices lower in the coming sessions, creating short-term bearish pressure.
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Despite the decline in sentiment, macro indicators still show some strength. The relative strength index remains in bullish territory above the neutral line.
This means that Pi Coin has managed to maintain buying interest despite the broader market sentiment trend being bearish. Strong RSI readings often indicate potential resilience.
One of the factors is the negative correlation between Pi Coin and Bitcoin.
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While BTC was falling, Pi Coin was able to avoid following typical market trends and maintain an upward trend on its own. This divergence continues to support assets despite slowing capital inflows.
Pi Coin is trading at $0.241, just below the $0.246 resistance level. Yesterday’s 5% decline in altcoins reflects short-term bearish pressure. This has been alleviated, but not completely eliminated. Price action suggests a cautious environment as traders await stronger signals.
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If the buying power continues to weaken, Pi Coin could fall below the $0.234 support or stay within the $0.234 to $0.246 range.
Consolidation is likely to occur unless inflows strengthen again, but historically it has taken time when the CMF has retreated.
However, if capital inflows increase again, Pi Coin could break through the $0.246 resistance level.
If this move is successful, the price could rise to $0.250 and even $0.260. This would invalidate the bearish outlook and restore near-term bullish momentum.
