Pi Coin has been on a rollercoaster ride since its mainnet launch last week. After experiencing a dramatic 99% crash in just four days, the altcoin has shown signs of recovery, rebounding by 116% over the weekend. However, the journey to new all-time highs is fraught with challenges, as the coin faces bearish pressure from technical indicators.
**Market Sentiment and Technical Indicators**
The Chaikin Money Flow (CMF) indicator has shown mixed sentiment in the market. Following the mainnet launch, investors sold heavily, causing the CMF to drop. However, some investors took advantage of the low prices, leading to a sharp spike in inflows. Despite these inflows, a true bullish confirmation will occur only when the CMF crosses the zero line, signaling sustained positive momentum and investor confidence in Pi Coin's recovery.
Pi Coin is also facing strong macro headwinds in the form of a bearish crossover. The Moving Average Convergence Divergence (MACD) has observed a bearish crossover over the past 36 hours, typically signaling further downward price action. The market is under pressure, and Pi Coin's price action reflects these broader trends.
**Current Price and Resistance Levels**
At the time of writing, Pi Coin is trading at $1.56 after its recent bounce. Despite this brief recovery, the prevailing bearish signals point to the possibility of further decline. The altcoin charted an all-time high (ATH) of $1.72 but is currently closer to the support level of $1.43. Given the current market outlook and technical indicators, it is likely to fall through this support soon and slip towards the $1.19 level.
**Path to Recovery**
For Pi Coin to break out of its current bearish trend, it will need stronger support from investors. The coin must breach the $1.72 resistance level and push past $2.00 to invalidate the bearish outlook and trigger a stronger uptrend. Consistent buying pressure and positive market sentiment will be crucial for Pi Coin to build momentum and achieve new all-time highs.
While Pi Coin has shown signs of recovery, the road ahead is challenging. The altcoin faces significant bearish pressure from technical indicators and broader market trends. However, with sustained investor interest and positive momentum, Pi Coin has the potential to overcome these challenges and reach new heights.