- Pi Network is holding above key support after renewed buying pressure emerged from exchange outflows and reduced foundation selling.
- Technical indicators suggest a short-term rebound, though broader downside risks remain if support breaks.
Pi Network continues its recovery, holding steady above $0.1700 and testing the 50-day Exponential Moving Average (EMA) at $0.1767. After four consecutive days of gains, the token faces a critical juncture, with traders closely watching whether it can break past this key resistance level.
Profit-Taking Follows Mainnet Node Upgrade
Data from PiScan reveals that approximately 2.90 million PI tokens were deposited onto centralized exchanges (CEXs) within 24 hours. Such inflows often indicate profit-taking, as investors capitalize on short-term recoveries. The deposits come shortly after Pi Network’s mandatory node upgrade deadline, which many view as a milestone ahead of the network’s first mainnet anniversary on February 20.
This spike in exchange deposits coincided with a temporary decline in PI price from an intraday high of $0.2070 to below $0.18 on Sunday. Analysts suggest that this could represent a local top, reflecting cautious investor sentiment despite the recent gains.
Technical Outlook: Can PI Surpass the 50-Day EMA?
Technically, Pi Network remains below both the 50-day and 200-day EMAs, maintaining a broader bearish bias. However, short-term indicators show promise. The Relative Strength Index (RSI) currently sits at 57, well above the midline after rebounding from oversold conditions. Meanwhile, the Moving Average Convergence Divergence (MACD) is approaching the zero line, with widening positive histograms signaling increasing bullish strength.
A decisive close above the 50-day EMA at $0.1767 could confirm a breakout, potentially pushing PI toward the psychological $0.20 level. Conversely, failure to hold this resistance may prompt a retracement toward the $0.1533 support, marking the low from October 10.
As Pi Network approaches its first mainnet anniversary, investor focus is split between celebrating milestones and monitoring technical levels. While short-term recovery hints at bullish potential, profit-taking activity and key resistance around the 50-day EMA suggest cautious optimism. Traders will likely watch whether PI can sustain its upward momentum or if the recent rally proves temporary.
ALSO READ: Pi Network Launches Pi Browser 1.50 Ahead of February 15 Node Upgrade
DISCLAIMER:
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of the publisher. The publisher does not endorse or guarantee the accuracy of any information presented in this article. Readers are encouraged to conduct further research and consult additional sources before making any decisions based on the content provided.
About the Author
