Pi Coin Price Stagnant Amid 40% Exchange Reserve Surge

The Pi coin price has been relatively stagnant, hovering around $0.456 despite the growing enthusiasm within the Pi Network community. While public sentiment remains optimistic, the on-chain and technical data present a more concerning picture. The increase in exchange reserves and the accumulation of short positions suggest hidden selling pressure rather than strength.

Public sentiment around the Pi Network remains surprisingly robust, with some community analysts referring to PI as a “sleeping giant,” believing its true value is yet to be fully realized. Crypto analyst noted that the Pi Network has been overlooked but is not worthless; it is simply misunderstood. Meanwhile, another trader warned that selling Pi coin near $0.45 could be a mistake, predicting a $5 price target during the next altseason. However, the actual trading setup tells a different story, filled with cautious signals and rising sell-side pressure.

One of the most alarming indicators is the sharp increase in Pi coin exchange reserves. Over the past two months, reserves have surged by over 40%, indicating that large holders are transferring coins to centralized exchanges, likely in preparation for selling. Inflows have exceeded outflows across most exchanges, suggesting that the PI price is under significant overhead pressure. When whales accumulate coins on exchanges, it rarely bodes well for bulls.

Pi coin continues to experience deep negative funding rates on perpetual futures, indicating that short traders are dominant and paying longs to maintain their positions. This imbalance is a classic sign of bearish crowd sentiment. Even after a small rebound to $0.48, retail traders have not flipped their positions. The funding rate reflects the cost of long versus short futures, with negative rates indicating that most traders expect further downside. If this trend continues, any sudden upward movement could trigger a short squeeze. However, for now, shorts remain in control.

The Elder Ray Index shows a weak but balanced power struggle, with Bull Power remaining below zero, indicating that buyers are not leading. Bear power is slowly building, suggesting that while selling is not aggressive, buyers have not returned in force. The chart appears frozen, with neither side having full control, but bears may have a slight edge over the bulls. The Elder Ray is a momentum tool that shows who is dominating, and in PI’s case, no one is.

Currently, the PI price trades near $0.456. The key support zone is $0.4035; if this level is breached, downside risk increases rapidly. On the upside, resistance stands at $0.4588 and $0.5023. If bulls can break above these levels, the path opens toward $0.60. However, unless these levels are cleared with volume, the Pi coin remains stuck in a sideways trap. If $0.4035 is breached, the bullish trend might be invalidated, which could happen if exchange reserves continue to pile up.

There is one potential lifeline: a hidden bullish divergence on the RSI. While the PI price made lower lows near $0.408, the RSI posted higher lows. This is a classic divergence setup, indicating that the PI price is dropping, but momentum is recovering. Often, this signals that bearish pressure is weakening. The RSI tracks momentum on a scale of 0 to 100, and a rising RSI while the price falls can point to a reversal.