The rebound in Pi Coin price has surprised many traders. It gained 17.3% over the past week, narrowing its monthly loss to just 5.4%. A moderate increase of around 0.6% was observed in the past 24 hours.
The broader picture suggests a continuation of this recovery. Let’s take a look at what the chart reveals and why there is still room for a pullback.
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Daily and 4-hour charts show growing momentum
The first sign of strength comes from the daily chart. From October 30th to November 1st, the PI price hit new lows, while the Relative Strength Index (RSI), which measures buy and sell strength on a scale of 0 to 100, hit new lows. This discrepancy, called a hidden bullish divergence, often indicates that sellers have lost control and a short-term uptrend (weekly uptrend) may continue.
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This daily RSI pattern is consistent with what is happening on the 4-hour chart. The 50-period exponential moving average (EMA), which tracks the average price weighted to recent candlesticks, is nearing a crossover above the 200-period EMA.
Traders refer to this setup as a “golden crossover” and it usually indicates growing bullish momentum. If this crossover occurs, it may strengthen the likelihood of Pi Coin’s price recovery continuing in the short term.
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Retail money keeps flowing
One of the reasons why Pi Coin price has not lost its momentum yet is the continued activity by retail traders. The Money Flow Index (MFI), which tracks both price and volume to measure buying and selling pressure, has been building to higher levels since October 24th.
MFI declined slightly after October 29, but has since recovered, indicating new inflows. Currently, it remains at around 58, above the neutral line of 50. As long as the price does not fall above 56.45, it suggests that traders continue to buy on the dip, helping to sustain the rebound in Pi Coin price.
Key levels to watch for Pi Coin price
On the Pi Network price chart, the first major resistance level is located at $0.255. A clean daily close above this could push Pi towards $0.270, a potential 8.4% increase from current levels. If we break out of this range, the next target will be $0.293, followed by extended upside levels at $0.340 and $0.376.
On the downside, $0.21 serves as the first major support level. Below this, $0.194 remains a strong floor for now. However, if $0.194 cannot sustain, the current bullish setup will be invalidated and Pi Coin will be exposed to a more severe correction towards $0.153.
For now, momentum indicators and retail activity suggest that Pi Coin’s bounce still has some life in it, but whether it can sustain it will depend on whether it sustains above $0.243 and breaks above $0.255 in the coming days.
