Key takeaways
- PI is down 1% in the last 24 hours and has now dropped below $0.21.
- The cryptocurrency could record further bearish performance amid market correction.
PI trades at $0.2072 as the market undergoes a correction
PI, the native token of the Pi Network, has lost 1% of its value in the last 24 hours and is now trading at $0,2072 per coin.
The bearish performance comes as centralized exchanges (CEXs) received 1.90 million PI tokens over the last 24 hours, suggesting risk-off sentiment among holders.
According to data obtained from PiScan, over 1.90 million PI tokens were deposited on PI-listed CEXs, adding to the supply pressure.
Usually, large deposits on centralized exchanges are considered a sell-off move, with investors taking some profits from the market. The inflow of tokens into exchanges could intensify selling pressure on PI in the near term.
PI could drop below $0.20 amid selling pressure
The PI/USD 4-hour chart is bearish and efficient as the coin has failed to rally in recent days. PI is trading below the 200-day EMA price of $0.2092 after reversing from the 50-day EMA at $0.2166.
The dip suggests renewed supply pressure from the higher EMA. The Relative Strength Index (RSI) has dropped to the neutral level of 50, indicating growing selling pressure and further downside potential.
Furthermore, the Moving Average Convergence Divergence (MACD) is closing in on the bearish zone, suggesting that the bullish momentum is fading. If MACD crosses below the signal line, it would indicate renewed bearish momentum.
If the selloff continues, PU could retest the October 11 and September 22 lows at $0.1996 and $0.1842 over the next few hours or days.
If Pi Network declines further, the October 11 and September 22 lows at $0.1996 and $0.1842, respectively, could serve as support levels.
However, if the bullish trend resumes, PI could target the 50-day EMA at $0.2166 before rallying towards the December high of $0,2295.
