Pi Network Price Forecast: PI tests long-term resistance breakout as selling pressure wanes
- Pi Network edges higher on Monday, testing the bullish breakout of a long-term resistance trendline.
- Fear and Greed Index declines to 36 from 43 last week, indicating reduced risk appetite.
- The technical outlook for the PI token indicates a mild upside bias as momentum recovers.
Pi Network (PI) is trading in the green on Monday, testing the bullish breakout of a long-term resistance trendline around $0.0788. Broader market sentiment is under bearish pressure, weighing on altcoins’ demand, with the Fear and Greed Index down to 36 on Monday from 43 last week. The technical outlook for the PI token indicates a mild upside bias as momentum gains strength.
Pi Network gains retail strength despite weak broader market sentiment
Pi Network derivatives show signs of renewed trader interest, with fresh positions building up, despite weak broader market demand. Blockworks data shows the PI futures Open Interest (OI) is at $8.55 million, up from $7.91 million last week, indicating increased notional value of active contracts. The rise in PI futures OI reflects traders' anticipation of further upside in the spot price, potentially leading to a breakout rally.
On the other hand, CoinMarketCap’s Fear and Greed Index is at 36 in the “Fear” zone, suggesting weak investor sentiment following the recent Binance hack, which stole $6 billion and briefly pushed Bitcoin (BTC) below $77,000 last week.
Technical outlook: Will PI token start a breakout rally?
Pi Network trades at $0.0784 at press time, capped beneath a long-term resistance trendline, connecting the June 20 and September 30 highs, around $0.0788. PI also trades below both the 50-day Exponential Moving Averages (EMAs) at $0.0828 and $0.1114, respectively.
Momentum shows signs of recovery on the daily chart, with the Moving Average Convergence Divergence (MACD) crossing above its signal line in negative territory, while the Relative Strength Index (RSI) at 45 rises from the oversold boundary toward the neutral midline.
A confirmed breakout above the resistance trendline at $0.0788 could confirm a bullish trend reversal, potentially targeting the 50-day EMA at $0.0828 and the 50% retracement level of the downswing from $0.1394 to $0.0704, at $0.1049.
Looking down, the only notable structural support is around the October 15 low at $0.0740, followed by the Fibonacci anchor near $0.0704, where buyers would be expected to defend the lower end of the current range if selling pressure resumes.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Author
Vishal Dixit
FXStreet
Vishal Dixit holds a B.Sc. in Chemistry from Wilson College but found his true calling in the world of crypto.
