Pi Coin (PI), plunges 7% in a week... Is the 96% drop from $0.111 ending?

▲ Pi Network (PI)/ChatGPT generated image

Pi Coin (PI) fell by nearly 7% in a week, expanding its drop from its all-time high to 96%. While the price hovers near its bottom, buy signals have simultaneously been detected in large wallet and individual investor fund flows.

According to crypto media outlet BeInCrypto on July 6 (local time), Pi Coin has fallen by over 6% in the past week. Compared to its all-time high recorded early last year, it is 96% lower. Contrary to the price weakness, indicators tracking large funds and exchange flows moved in the opposite direction.

On the 8-hour chart, the Chaikin Money Flow (CMF), which shows buy and sell pressure from large wallets, rose to 0.13. This indicator steadily increased while Pi Coin's price fell from June 21 to July 6. A similar bullish divergence appeared in late May, after which Pi Coin rose by approximately 8%.

Signals of decreasing selling volume were also detected in exchange fund flows. Over the past 24 hours, outflows of Pi Coin exceeded inflows on most major exchanges. The combined net outflow amounted to approximately 260,000 PI, with OKX, Gate.io, and Kraken leading the trend. Since June 28, trading volume on down days has also decreased, indicating a weakening selling pressure.

The Relative Strength Index (RSI) also diverged from the price. While Pi Coin's price recorded lower lows from June 4 to June 30, the RSI formed higher lows. Pi Coin remains within a downtrend channel that began in late April, but if it breaks above $0.119, $0.134 and $0.139 are suggested as the next price targets.

Downside risks also remain. Approximately 127 million PI will be unlocked over the next 30 days, with an average daily supply of about 6.5 million PI. If the daily closing price falls below the all-time low of $0.111, then $0.108 and $0.101 are suggested as the next downside targets. The defense of $0.111 and the breakout above $0.119 are key benchmarks for July's price movement.

[Article Key Summary]

-Pi Coin has fallen by over 6% in a week, with its drop from the all-time high reaching 96%.

-Chaikin Money Flow rose to 0.13, and a net outflow of approximately 260,000 PI was observed on major exchanges.

-If $0.119 is broken, $0.134 and $0.139 are suggested, but if $0.111 collapses, there is a risk of further decline to $0.101.

*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.*