PI Faces Strong Selling Pressure in a Continuous Downtrend

The PI token has experienced a continuous downward trend since the beginning of March, with bearish forces dominating its market trajectory. Over the past seven days, PI has seen a significant fall of 32% in value, with selling pressure increasing among market participants. This raises concerns about further losses, especially as this token struggles to find strong support from buyers. Weak efforts to increase price as trading volume falls Currently, PI is trading at $1.17, showing a slight increase of 1% in the past 24 hours. However, this slight recovery appears weak, as the declining trading activity suggests that the increase is not attracting much buying interest. The trading volume of the token has fallen 37% to $366 million, indicating reduced investor participation.

A decrease in trading volume along with rising prices often indicates that the price increase is unsustainable due to a lack of significant participation from buyers. Without new demand, the price of PI is likely to struggle, making it more vulnerable to further losses. The BBTrend indicator signals the dominance of the downward trend. Adding to the negative outlook, the BBTrend indicator remains deeply in the red. On the four-hour chart, the momentum indicator BBTrend of PI is at -32.45—the lowest level since this token's inception. This index confirms that the pessimistic sentiment is being tightly controlled, with sellers still maintaining dominance.

The BBTrend indicator, which measures price volatility related to the Bollinger Bands, reflects the strength of the asset trend. A positive BBTrend value indicates an upward trend, with prices moving towards the upper Bollinger Band. Conversely, a negative BBTrend value signals a strong downward trend, with prices closer to the lower band. With the extremely bearish BBTrend of PI, it is clear that the ongoing decline is not just a short-term correction but also reflects an inherent bearish trend accompanied by high volatility. The main support level is at $1.11—Can the bulls prevent a fall to $0.87? Currently, PI is holding above the important support level of $1.11. However, if the bearish pressure continues to increase, buyers may struggle to defend this level, potentially causing further decline to $0.87.

On the other hand, the recovering market demand and positive sentiment may help nullify this bearish forecast. If buyers return, PI may regain its upward momentum and aim for a recovery target of $1.34. Conclusion PI is still in a precarious state, with strong bearish momentum pushing the price down. Although this token has seen a slight increase, low trading volume and a negative BBTrend indicator suggest that this price increase lacks substance. If the selling pressure continues, PI could break the support level of $1.11, opening the door to a drop to $0.87. On the other hand, renewed interest from investors could provide the necessary momentum to recover to $1.34. Traders should closely monitor market developments to assess PI's next move.