Pi Network Price Forecast: Key support holds for PI as crypto sentiment slumps

• Around $0.0750 on Tuesday, Pi Network faces trendline resistance to its recovery attempt after three successive daily declines.
• A fall in the Fear and Greed Index to 34 reflects subdued crypto market sentiment after the $6.3 billion Binance hack.
• Recovering momentum is approaching neutral levels, but resistance continues to constrain the PI token’s price, leaving its technical outlook mixed.

At around $0.0750 at press time on Tuesday, Pi Network (PI) has recorded three consecutive lower daily closes against a backdrop of considerable headwinds. Following the $6.3 billion Binance hack, deteriorating social sentiment across the wider cryptocurrency market is putting pressure on speculative tokens. For Pi Network, the technical picture remains mixed: near-term support is holding, but a long-term descending resistance trendline continues to limit the price. 

PI Faces Pressure as Wider Market Fear Grows

CoinMarketCap’s Fear and Greed Index has fallen from 45 last week to 34 on Tuesday, indicating that fear is taking hold among investors. The deterioration in social sentiment across the broader crypto market gathered pace after the $6.3 billion Binance hack. 

According to Santiment data, bullish comments about Bitcoin, Ethereum (ETH), and Ripple (XRP) are declining sharply relative to bearish comments. BTC has a bullish-to-bearish comment ratio of 0.69 and XRP a ratio of 0.61, compared with 1.14 for ETH.

A drop below 20 in the Fear and Greed Index, or ratios staying below 1, could signal “Extreme Fear” across the market. Once panic has had time to subside, however, these extreme phases of Fear, Uncertainty, and Doubt (FUD) often offer an opportunity for a strong recovery.

Technical Outlook: Pi Network Faces Resistance to a Breakout Rally

At $0.0766 at press time on Tuesday, Pi Network retains a bearish short-term bias. Trading remains below the descending resistance trendline at $0.0784, which has held since 20 July.

Adding to that trendline resistance is the 50-day Exponential Moving Average (EMA) at $0.0825, with overhead supply likely to limit rallies. Should a breakout above this area be confirmed, the advance could extend towards $0.1049, the 50% retracement level of the decline from $0.1394 to $0.0704.

On the daily chart, the Moving Average Convergence Divergence (MACD) sits above its signal line but remains in negative territory. Meanwhile, a Relative Strength Index (RSI) reading near 39 points to only modest downward pressure.

Initial demand on the downside lies at $0.0740, the 15 October low. The principal structural support is further down, near the Fibonacci cycle low of $0.0704, where a steeper decline would likely attract more substantial buying interest.

(The technical analysis of this story was written with the help of an AI tool. Know more.)