Pi Network’s PI token is trading around $0.1300 on Thursday, down by 1% in the last 24 hours as the broader cryptocurrency market struggled to sustain a recovery.

The token remains under pressure as recurring spikes in long liquidations and cautious investor sentiment weigh on the market. 

Technically, PI risks invalidating a recent bullish breakout from a long-term descending trendline if selling pressure continues.

The broader crypto market has lost momentum, with Bitcoin (BTC) slipping back below the $65,000 mark amid concerns over a more hawkish monetary policy stance from the US Federal Reserve under its new leadership.

Investor confidence has also weakened. Data from CoinMarketCap shows the Fear and Greed Index fell to 21 on Thursday, down from 25 on Monday, bringing sentiment closer to the Extreme Fear zone.

Meanwhile, derivatives data continues to favor bears. According to CoinGlass, approximately $311 million in long positions were liquidated on Wednesday, significantly higher than the $129 million in short liquidations, highlighting continued downside pressure across the market.

The PI/USD 4-hour chart remains bullish and efficient despite the slight retracement.

The rebound briefly pushed above a key descending trendline near $0.1300, a level that had previously rejected multiple recovery attempts. 

However, the latest pullback suggests bulls may be struggling to maintain control.

A daily close below $0.1300 could invalidate the breakout and reinforce the prevailing bearish trend.

Momentum indicators continue to paint a cautious picture for PI.

The Moving Average Convergence Divergence (MACD) histogram remains above the zero line but continues to contract, while the signal lines are approaching a potential bearish crossover.

This suggests that buying momentum is weakening.

Meanwhile, the Relative Strength Index (RSI) hovers near 50. The reading indicates subdued demand and a lack of strong bullish conviction.

Together, these indicators suggest the recent recovery may lack the strength needed to develop into a sustained uptrend.

If sellers push PI below the critical $0.1300 level, the token could revisit the lower support zone at $0.1186, with another demand zone at $0.1000. 

A break below these levels could expose PI to further downside pressure.

For bulls to regain momentum, PI will need to overcome several technical hurdles.

The first major resistance stands at $0.1471, with another hurdle at $0.1606. 

A sustained move above these resistance levels would improve the technical outlook and increase the chances of a broader recovery.

While the token recently broke above a long-standing descending trendline, weakening momentum indicators and fragile market sentiment suggest bears are regaining control.

Unless buyers defend the current support zone and push the price above key moving averages, PI could face renewed pressure toward $0.1186 and potentially the $0.1000 level in the sessions ahead.

The post PI slips toward key support as bearish momentum builds appeared first on Invezz

Bitcoin price in Telegram @btc_price_every_hour

35 +