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PI Detaches from Bitcoin as Recovery Above $1 Seems More Challenging
Pi Network has recently faced a challenging phase in its price action. After falling below the $1 mark, the recovery momentum of this altcoin seems to be waning. Unlike previous recoveries, the current market situation suggests that Pi Network may have more difficulty regaining the $1.00 price level. The Pi Network is Gradually Losing Its Appeal The average directional index (ADX) is currently at 32, significantly higher than the threshold of 25. This index indicates that the prevailing trend is strengthening. In this case, the trend of Pi Network is falling, reinforcing the pessimistic sentiment among traders and investors. Another proof of this strong downtrend can be seen through the Parabolic SAR indicator. The dots positioned above the candles are a classic signal indicating that the price is likely to continue to fall. Such technical indicators often encourage cautious trading behavior and can increase selling pressure.
The price of Pi Network has shown a weakening correlation with Bitcoin, currently measured at 0.25 and gradually falling. This low and declining correlation indicates that PI is starting to operate more independently rather than reflecting the movements of Bitcoin. This separation is significant because Bitcoin has recently reached a new all-time high (ATH) and may continue to rise. However, Pi Network is less likely to capitalize on the price surge of Bitcoin due to its differing price momentum. The decreasing correlation implies that PI may struggle to keep up with Bitcoin's upward trajectory.
PI Aiming for a Price Surge With the current price at $0.77, Pi Network will need to rise approximately 28% to reach the $1.00 mark once again. With indicators showing a strong downward trend and a weakening correlation with Bitcoin, this price target seems ambitious in the near future. Increased pessimism can erode investor confidence, leading to more selling. If the price breaks below the important support level of $0.71, Pi may face further decline, potentially sliding to $0.61. Such a drop would deepen the pessimistic outlook.
On the other hand, if broader market conditions improve, Pi Network could surpass the resistance levels at $0.78 and $0.87. Breaking through these points could invalidate the current bearish thesis and pave the way for a new bullish rally towards the price target of $1.00.