Pi Network (PI) Crashes 60%, Falling Below $0.90 for the First Time Since February

Justin Bons calls Pi Network a potential scam, fueling investor concerns. Pi Network must break $1.25 resistance to regain bullish momentum and recover losses.

Recently, Pi Network (PI) has taken a severe hit, plummeting below $0.9. This marks a significant 60% drop from its previous high and has many investors questioning if the project is in trouble.

Pi Network Must Break $1.25 Resistance to Gain Bullish Momentum and Recover Losses- Chart from TradingView

Recently, Pi Network (PI) has taken a severe hit, plummetizing below $0.9. This marks a staggering 60% drop from its previous high, which had reached as high as $2.8 on Feb 22. As a result, many investors are now questioning if the project is in trouble.

Cyber Capital founder Justin Bons recently fueled these concerns by calling Pi Network a potential “scam.” However, some traders are still keeping an eye on potential recovery signs.

Why Is the Pi Network Dropping?

The recent crash in Pi Network’s price has sparked debates within the community. Some members believe that the project lacks transparency, while others prefer to view it as a natural market correction.

However, technical indicators are showing that the downward trend is still quite strong. One key indicator to watch is the Bollinger Band Trend (BBTrend). It has fallen to -40, which is the lowest it has ever been. This signals that sellers are still in total control.

When the BBTrend stays negative for many days, it usually indicates that the price will continue dropping unless buyers can step in and exert some strength.

Another important indicator, the Relative Strength Index (RSI), dropped to 17.5 today, which means the coin was extremely oversold. It has since recovered slightly to 45, but this is still in bearish territory. Ideally, the RSI needs to move above 50 to indicate that the selling pressure is easing and buyers have some advantage.

If the RSI fails to rise above 45 again and continues to move lower, it could put more pressure on the price to continue dropping.

Will Pi Coin Fall Below $1?

As of press time, Pi Network is trading at $0.9, and it has already dropped below $1 for the first time since February 22.

If the decline continues, the next key support levels to watch are at $0.80 and $0.60. A further drop in these levels could signal even more weakness and put more pressure on the price to move lower.

However, if buyers regain confidence and step in to push the price back up, the first resistance level to watch is at $1.25. If Pi Network breaks past this resistance, it could move toward the next resistance levels at $1.80 and $2.5.

For now, Pi Network remains in a fragile position. With ongoing concerns and market uncertainty, the next few days will be crucial in determining if PI can recover from its massive 60% drop or continue its downward trend further.