Pi Coin price increased by 9% after the end of a 2-week consolidation period.

After several attempts to break through the resistance level but failing, the price of Pi Coin has entered a new sideways phase. In the past few days, this cryptocurrency has hardly shown any significant fluctuations, reflecting the absence of strong investment flows.

Currently, Pi Coin is fluctuating within a narrow range, reflecting the hesitation of traders as the market has not established a clear trend.

Demand for Support for Pi Coin

According to the Chaikin Money Flow indicator (CMF), the inflow of capital into Pi Coin is showing signs of a slight increase, however, the pace is still quite modest. This indicates that although interest from investors is gradually returning, it is still not enough to create a strong price breakout.

If there is no significant increase in capital flow, the short-term recovery process of Pi Coin may continue to be limited.

In history, strong inflows of capital have often acted as a catalyst for prolonged price increases. However, the current CMF indicators show that liquidity pressure is still present. To initiate a sustainable upward trend, Pi Coin needs to be steadily accumulated by investors and receive the return participation of large holders.

Pi Coin CMF Index | Source: TradingViewFrom a macro perspective, the market momentum of Pi Coin is showing initial signs of stabilization. The Squeeze Momentum indicator indicates that selling pressure is gradually weakening, implying that the sellers are losing their edge. However, the upward momentum is still not clearly evident as traders continue to wait for a confirmation signal of a trend reversal.

The squeeze accumulation on the chart indicates the potential for a strong volatility phase. If this squeeze is resolved in a positive direction, Pi Coin could potentially record a significant price bounce.

Squeeze Momentum Indicator Pi Coin | Source: TradingView## PI Coin awaits the breakout moment

Currently, Pi Coin is trading at $0.2408, surpassing the resistance level of $0.209. For nearly two weeks, this altcoin has maintained a sideways state, holding steady above the important support zone of $0.198. This accumulation phase reflects the indecisiveness of the market as both buyers and sellers have yet to truly dominate.

Pi Coin Price Analysis | Source: TradingViewIf the inflow of capital into the market improves, Pi Coin could surpass the resistance level of $0.26 and aim for the price range of $0.282. Steady growth in buying volume along with the return of investors will be key factors for this move. A confirmed breakout above $0.209 will signal an improvement in momentum and attract short-term traders.

Conversely, if Pi Coin continues to face selling pressure, the price may continue to accumulate or drop below the $0.198 level. A break of this support zone could pull the price back to $0.180, nullifying the bullish outlook. Weak capital flow and selling pressure will be factors reinforcing this bearish scenario.

Mr. Teacher