The Pi (PI) cryptocurrency is encountering persistent bearish headwinds as it approaches a critical support level at $0.47, with technical indicators signaling potential for a rebound if this defensive line holds firm.
PI initially rallied past the 20-day Exponential Moving Average (EMA) at $0.56 but faced staunch resistance near the 50-day Simple Moving Average (SMA) barrier at $0.66. This rejection has intensified selling pressure, forcing the token below the 20-day EMA and toward the crucial $0.47 support level. Further downside protection rests near $0.40 should bearish momentum intensify.
Market technicians note emerging positive divergence on the Relative Strength Index (RSI) across daily timeframes, suggesting weakening downward pressure should $0.47 support defend against sell-offs. However, the 4-hour chart maintains a bearish posture with the 20-EMA trending downward and the RSI approaching oversold territory.
Traders are monitoring two pivotal scenarios: A rebound above the 4-hour 20-EMA could initiate a retest of the $0.66 resistance, while sustained trading below $0.47 risks accelerating declines toward the $0.40 support zone.