Pi Coin, 'Stuck' at $0.155 Resistance... 400,000 Escaped Exchanges, Why Can't It Rise?

▲ Pi Network (PI)/ChatGPT generated image

Pi Coin (Pi Network, PI) is attempting a short-term recovery, buoyed by withdrawal flows from centralized exchanges, but it is failing to gain momentum in breaking through a key resistance level. Although selling pressure has weakened, an analysis suggests that an upward trend can only be revived by surpassing $0.1550 and the 50-period exponential moving average.

FXStreet reported on May 22 (local time) that Pi Coin showed a stable trend above $0.1500 at the time of writing the article on Friday. Small withdrawals were observed from centralized exchanges over the past 24 hours, and the technical outlook was assessed as cautiously bullish. However, the price showed hesitation below the key resistance level of $0.1550.

According to PIScan data, approximately 400,000 PI were withdrawn from centralized exchanges over the past 24 hours. Generally, a decrease in available supply on exchanges can indicate increased demand. FXStreet explained that a steady reduction in Pi Coin's holdings on centralized exchanges could support the next recovery trend.

At the time of writing, Pi Coin was trading at $0.1536. The price remained below the 50-period exponential moving average of $0.1573 and the 200-period exponential moving average of $0.1680. Accordingly, the short-term trend still leaned towards bearishness.

The price action moved within a sideways range between Tuesday's low of $0.1463 and high of $0.1550. To reconfirm an uptrend, Pi Coin must overcome the upper resistance of $0.1550 and the 50-period exponential moving average of $0.1573. A breakthrough of this range could open up room for an ascent to the 200-period exponential moving average of $0.1680.

Technical indicators simultaneously pointed to the possibility of a short-term recovery and a broader bearish trend. On the 4-hour chart, the Moving Average Convergence Divergence (MACD) and signal line were rising but still remained below the baseline. This was interpreted as a short-term recovery within a broader bearish trend. The Relative Strength Index (RSI) remained neutral at around 50, showing a weakening of selling pressure.

On the downside, Tuesday's low of $0.1463 was presented as a clear support level. This area acts as a defense line, preventing Pi Coin from sliding towards its all-time low of $0.1310. Although Pi Coin raised short-term recovery expectations with exchange withdrawals, breaking through $0.1550 remains the first hurdle for a bullish reversal.

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