Pi Network (PI) edged lower by nearly 2% on Monday, marking a cautious start to the week amid declining social interest in the broader cryptocurrency market.
PI token unlock adds to Sell-Off risk
PiScan data shows that 136 million PI tokens will be unlocked in October, slightly over 1% of the circulating supply. The increase in supply may exacerbate selling pressure as risk-off sentiment prevails.
On-chain analytics CEO Joao Wedson highlighted a decline in Google Trends search volume for crypto-related keywords, indicating that retail investors are largely sitting on the sidelines.
Technical outlook: declining wedge pattern
PI reversed from the Pivot Point level at $0.2696 on Monday, setting up a potential downcycle in a declining wedge pattern on the 4-hour chart. Immediate support lies at Thursday’s low of $0.2565. A breach of this level could push PI toward the $0.2000 round figure.
However, technical indicators suggest that selling pressure is gradually easing. The Relative Strength Index (RSI) remains above the oversold zone at 42, while the MACD and its signal line show steady upward movement near the zero line, indicating declining bearish momentum.
Key resistance levels
On the upside, PI faces resistance at the 50-period Exponential Moving Average (EMA) at $0.2845, followed by the psychological $0.3000 level.
