Will Pi Network sustain its mild recovery?

Pi Network (PI) shows mild upside movement on Wednesday, as the price holds above a crucial support level near $0.0853. The broader market recovery cooling down weighs on PI recovery odds, while the technical outlook remains mixed amid a lack of decisive momentum.

Profit-taking cools off broader crypto market recovery

The broader crypto market is edging lower this week following double-digit gains last week, as previously reported by FXStreet. CoinGlass data shows $373 million in positions liquidated over the last 24 hours, with $310 million of these were long positions, indicating renewed selling pressure. 

Still, CoinMarketCap’s Fear and Greed Index holds at 80 on Wednesday, signaling persistent bullish sentiment as investors watch the near-term pullback driven by profit-taking.

Technical outlook: Will the PI token sustain above its key support level?

Pi Network trades around $0.0900 at press time on Wednesday, holding its neutral near-term bias. PI token sustains above the 23.6% Fibonacci retracement of the downswing from $0.1341 to $0.0703, at $0.0853.

From a technical perspective, the 50% retracement at $0.1022 remains a key resistance level, which capped gains in mid-July. A confirmed breakout above this level could target the 78.6% Fibonacci retracement level at $0.1204.

The Moving Average Convergence Divergence (MACD) remains marginally above its signal line on the daily chart, while the Relative Strength Index (RSI) hovers near 51, hinting at stabilizing but still fragile momentum.

On the downside, the 23.6% Fibonacci retracement level at $0.0853 serves as the immediate support, and a confirmed break below it could nullify its recovery prospects. A deeper decline could target the $0.0703 swing low.

(The technical analysis of this story was written with the help of an AI tool. Know more.)