Pi Network Price Prediction as PI Crashes 13% to Record Low – Is Recovery Possible?

Pi Network (PI) price had registered an intraday drop of 13.99% at the time of writing. The price had earlier touched an all-time low of $0.0625 amid strengthening bearish sentiment across the broader crypto market.

The falling price comes ahead of the first ever PI ecosystem summit next week, with speculation now rising whether this event might be the bullish trigger needed for PI to recover from its record low.

Pi Network Crashes to Record Low as Crypto Market Sentiment Remains Bearish

In just 24 hours, Pi Network price moved from $0.0729 to register a record low of $0.0625. It has since bounced slightly from that record low, and traded at $0.0667 at the time of writing.

The drop has coincided with an increase in trading volumes around Pi Network. Per CoinMarketCap, the volumes have surged by 230% to $13.01 million at press time.

The volumes could be rising because of two reasons: increased activity from sellers who want to exit because of fear of Pi Network price moving lower or buyers who are taking advantage of the dip to buy more coins.

But even if buyers might have contributed to this rise in volume numbers, the current sentiment across the broader crypto market suggests the momentum might not last because the Fear and Greed Index has dropped to 29.

When the index is showing fear, it means that most traders are choosing to either sell their holdings at a loss or are refraining from scooping more coins.

This “fear” index suggests a bearish future Pi Network outlook that the price will likely edge lower in the near term unless the rest of the market can show an improved sentiment.

Open Interest Crashes to Multi-Month Lows Despite Summit Hype

As CoinGape reported, Pi Network will have its first-ever ecosystem summit next week that will run from November 17 to November 19.

In an X post, the team shared more details about the summit saying that they will unveil new features, and hold talks with developers and members of the core team including the founders Nicolas Kokkalis and Chengdiao Fan.

There will also be a hackathon with a 200,000 USDT prize pool. Going by these developments, the summit is likely to cause gains for Pi Network price.

However, traders in the futures market have yet to start opening new positions to frontrun the potentially bullish impact of the summit and new network updates. This is because Coinalyze shows that the open interest for Pi Network has dropped to $22 million, with this being the lowest OI reading since July 8.

When the open interest is falling alongside the price like it is happening now, it suggests long positions are being closed, and there is no interest to open new positions. This might prevent a strong recovery for Pi Network price or force the price to consolidate at the current low levels.

Pi Network Price Prediction as RSI Flashes Oversold Signal

Pi Network price has dropped below $0.070 for the first time in history. That drop stems from an increase in selling pressure, and the RSI is now at 18.

An RSI reading of 18 suggests that the momentum is extremely bearish. However, it also shows that PI might be oversold, and buyers taking advantage of the dip might trigger a relief rally.

However, it is worth noting that just because the RSI is oversold does not mean that Pi Network price will rebound. This is because in July, the RSI dropped to 12 before the price started to rebound. Hence, there is a chance that more selling pressure could be on the way and Pi Network price will drop further.

After creating the all-time low at $0.0625, the next psychological level investors are watching is $0.060-. If this one also breaks, PI price might drop to the 123.6% Fib of $0.058.

A rebound hinges on Pi Network price moving above the resistance at $0.079 before there is a confirmation that a recovery is underway.

Is Recovery Possible for PI?

It is possible for Pi Network price to recover. History suggests that every drop to a new low has often preceded a bounce in price.

For instance after Pi crashed to $0.070 in July, the price later gained by more than 40% a week later. This gain suggests that every dip has attracted new buyers and if this happens this time around, Pi Network price could move towards $0.090.

It is also possible for a recovery to happen because of the upcoming summit. Being the first summit for Pi Network, the hype might attract some buyers who could help support an uptrend.

However, the broader crypto market might hinder these gains from happening if the sentiment does not shift to greed. As long as the crypto market sentiment is in fear and deterring new buyers, a healthy recovery may not occur.