Pi Coin Plummets 26.3% as Crypto Sector Rises 5.61%

Pi Coin (PI) has experienced a significant decline in value over the past week, with its price dropping by 26.3% within seven days and an additional 9% in the last 24 hours. This downturn contrasts sharply with the broader crypto sector, which saw an overall increase of 5.61% this week, driven by gains in Bitcoin and altcoins. Bitcoin rose by 5.2%, while altcoins climbed by 4.85%.

Pi Coin's recent performance has been marked by extreme volatility. On February 20, the coin was trading near $0.1071. Within just six days, its price surged by an astonishing 2,688.79%, briefly reaching over $3 on February 26. However, this meteoric rise was short-lived. By February 27, profit-taking and heavy selling had erased nearly all of these gains, leading to a more than 70% drop from its peak.

Technical indicators suggest that further declines may be on the horizon. Pi’s On-Balance Volume (OBV), which measures buying and selling pressure, has turned deeply negative. From a high of 566.88 million on February 26, the OBV has plummeted to negative 1.06 billion, indicating that sellers are currently in control and buyers are hesitant to enter the market. Additionally, Pi has been trapped in a descending channel since its peak, consistently making lower highs and lower lows, a pattern that typically signals a bearish trend.

If the selling pressure continues and the coin breaks below its channel support, Pi could potentially drop toward the $0.62 level in the coming days. Conversely, if fresh buying interest emerges, the price could rebound toward $1.13. However, current technical signals favor the bears, and most traders are adopting a cautious approach. For Pi Coin holders, the future trajectory will depend on whether the bulls can regain lost ground. Until then, traders are advised to closely monitor the descending channel for any signs of a clear breakout that could determine the next significant move.