PI is down 17% in the last 24 hours, falling below the $1 mark

The newly launched Pi Network Ventures aims to boost real-world adoption by investing in companies integrating PI into AI and fintech sectors.

The price of PI, the native token of the Pi Network, has dropped 17% in the last 24 hours, falling back below the $1 mark.

This move unwinds much of the recent hype that had seen PI nearly double in two weeks amid renewed investor interest and Binance rumors.

However, technical indicators suggest that the rally may be losing strength, with several momentum signals showing signs of slowing down.

This slowdown could set the stage for profit-taking and broader corrections, especially if buying strength fails to return.

Pi Network Launches $100 Million Startup Fund to Invest in AI and Fintech

The Pi Foundation has launched Pi Network Ventures, a $100 million startup fund to invest in companies that are building on the Pi Network.

The fund, which is funded through 10% of the PI supply, will invest in early to Series B companies that are integrating PI into interesting sectors, such as AI, fintech, ecommerce, and consumer apps.

Most of the investments will be made in PI tokens rather than fiat, aligning with the project’s long-term ecosystem goals.

The goal of the fund is to boost the real-world adoption of PI and to help the project to fulfill its promise of a more inclusive and decentralized web3.

The announcement of the fund has been met with enthusiasm from the Pi Network community, who are eager to see the project expand beyond its current scope.

Several technical indicators suggest that the recent rally in PI may be losing strength. For example, the DMI chart shows that its ADX has dropped sharply from 72 to 35.46 in two days.

This signals a rapid weakening in the trend strength. ADX values above 25 indicate a strong trend, while drops below 20 often indicate trend exhaustion.

Moreover, the +DI (bullish pressure) has plunged from 61 to 23.99, and the -DI (bearish pressure) has climbed from 1.2 to 25. This crossover suggests that bearish momentum is overtaking bullish strength.

Unless buying pressure returns, PI could enter a consolidation or correction phase.

The Chaikin Money Flow (CMF) has dropped significantly from 0.24 to -0.05 in just two days. This shift suggests that buying pressure has quickly faded, and large-scale traders may be starting to distribute the asset.

The CMF is a volume-weighted indicator that measures the flow of money into and out of an asset. Positive values signal accumulation (buying pressure), and negative values suggest distribution (selling pressure).

A reading of -0.05 is not deeply bearish; however, the drop from strong positive territory could indicate a lack of investor confidence following the hype surrounding the new venture fund.

If CMF continues to fall, it could hint at a short-term price correction as traders take some profits following the recent rally.

The shift in technical indicators suggests that the momentum of the recent rally may be slowing down.

If the correction continues, PI could test support at $0.90, and a break below that level might open the path to $0.78 or even $0.636.

However, if bulls can regain control and push the price above the 200-day Simple Moving Average (SMA) at $1.04, PI could bounce back to test resistance at $1.23.

A clean move above that level could pave the way for further upside toward $1.67 and $1.798.