Pi Coin (PI) has experienced a severe 25% price decline over the past 20 days, dropping to $0.201 and testing a critical eight-week support level at $0.198. The altcoin's downturn aligns with broader market weakness, with Bitcoin acting as a key drag on its performance.
On-chain metrics reveal deteriorating investor sentiment and significant capital outflows. The Chaikin Money Flow indicator has plunged to an eight-month low, signaling heavy withdrawals as holders lose confidence following repeated failed recovery attempts. The correlation between PI and Bitcoin has turned positive, standing at 0.42, which has magnified Pi Coin's losses during Bitcoin's correction period.
Trading volume has collapsed dramatically, falling from over $2.5 billion in February to approximately $22 million currently. This decline is accompanied by waning whale interest, creating a clear signal of diminishing investor confidence that has prompted market participants to rotate away from the token.
Technical analysis paints a bearish picture. Pi Coin has formed a double-top pattern on the 4-hour chart, which is considered a precursor to further downside. Additionally, the 50-day simple moving average has crossed below the 200-day moving average, forming a "death cross" that indicates bearish control over the market.
Upcoming token unlocks present additional pressure. Data from Piscan shows the network is set to unlock nearly 105 million tokens by the end of December and over 1.22 billion tokens throughout 2026. This surge in circulating supply, occurring alongside weak demand, risks significant dilution and could continue pushing prices downward if buying interest remains subdued.
The immediate support zone between $0.192 and $0.196 represents a critical level where buyers have historically stepped in. A breakdown below this support could potentially open the door for a drop toward $0.15, representing a further 25% decline from current levels.
