Pi Network Faces Collapse of Major Support Line... Can It Withstand the Sell-Off Bomb?

▲ Pi Network (PI)/ChatGPT generated image

Pi Network (PI) is on the verge of its major support line collapsing, unable to withstand the selling pressure from the large volume of deposits flowing into exchanges.

According to crypto media outlet FXStreet on April 30 (local time), the price of Pi Network is under strong downward pressure due to recent concerns about oversupply. Investors are depositing large amounts of their holdings into exchanges, threatening Pi Network's key support levels.

The main factor driving the price decline is the sharp increase in deposit volumes on exchanges. Generally, a large inflow of cryptocurrency into exchanges is interpreted as an indicator that investors' intention to sell has strengthened. Currently, Pi Network's price is fluctuating as buying pressure is not sufficient to absorb the incoming volume.

Technical indicators also point to a downtrend. Key indicators such as the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) suggest that Pi Network's trend is currently on a downward curve. Experts analyze that if the current support line cannot be maintained, price volatility could increase further.

In the market, there are concerns that the supply of Pi Network is being released faster than its ecosystem is expanding. "The current massive selling pressure will be a watershed moment testing market confidence," an FXStreet official stated. Investor sentiment among individual investors is spreading, weakening short-term rebound momentum.

For Pi Network to regain a stable trend in the future, the large-scale deposits must stop, and new support levels must be established. Currently, there is a lack of positive news to offset the downward pressure, and investors are expected to adopt a wait-and-see approach. Efficient management of circulating supply and securing practical use cases are expected to be key variables for future price trends.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*