- The promoting stress behind PI was robust, regardless of the worth bounce in April.
- A bullish divergence on the 4-hour MFI after a retest of close by assist ranges may very well be fascinating to consumers.
Pi Community [PI] has been in a gradual downtrend in latest weeks. Though it nonetheless retained its bearish outlook, the downward momentum has eased in April.
Might this be a reprieve, or had been the PI bulls build up towards a breakout previous the important thing overhead resistance?
The probabilities of a Pi uptrend are slim, as of now
Supply: PI/USDT on TradingView
On the 1-day chart, the related decrease excessive and decrease low had been marked in orange. These ranges at $0.84 and $0.52 marked the locations the place the following market construction break would happen.
A transfer past both stage would sign the place the worth of PI is headed subsequent.
The technical indicators on the 1-day timeframe appeared to have stabilized. The MFI, which had been deep within the oversold territory, has climbed towards overbought.
This shift over the previous two months signaled bullish capital stream and momentum.
Nevertheless, the A/D indicator has not stopped its downward progress, though it slowed down in April.
This was an indication that purchasing quantity was nonetheless low and that the findings from the MFI weren’t wholly consultant of the PI scenario.
Supply: PI/USDT on TradingView
Zooming into the 4-hour timeframe, a set of Fibonacci retracement ranges was plotted primarily based on the sharp worth bounce on Saturday the fifth of April.
At press time, the worth of the Pi Community token was headed to the 50% retracement stage at $0.595.
The MFI was under 50 on the H4 timeframe. It was at 23, barely above the oversold area, displaying bearish momentum and promoting stress. The A/D indicator additionally took a number of steps downward over the previous two days.
This got here alongside the bearish market construction break, when PI bears drove the worth under $0.71 (inexperienced). Within the coming days, the $0.595 and $0.55 ranges had been prone to act as assist.
Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different sorts of recommendation and is solely the author’s opinion