Pi Network is about to break its historical low: Investors are fleeing, no more support.

Pi Network (PI) continues to weaken, falling another 2% on Thursday, extending the correction towards the important support zone. Notably, the inflow of funds into the wallets of centralized exchanges (CEX) surged just before the unlocking of 10.8 million PI tokens – a signal indicating that selling pressure is escalating as many traders take profit before the new supply floods the market.

Technical indicators suggest that the downside risk remains present, with the possibility that PI may return to test the record low around 0.40 USD if selling pressure does not ease.

Capital inflow into CEX surged before the unlocking of 10.8 million PI

According to data from PiScan, as of Thursday, there has been a net inflow of 704,237 PI tokens into the wallets of CEXs, of which Gate alone is holding over 194 million PI out of a total of 401 million tokens stored across exchanges. This trend often reflects the willingness to sell by investors or large holding groups.

CEX wallet balance | Source: PiScanPiScan also reported that next Monday, an additional 10.8 million PI tokens will be unlocked – the largest number in the next 30 days – bringing the total unlocked tokens to 171.25 million PI, equivalent to about 75.91 million USD. Such a sudden increase in supply typically leads to strong selling pressure, especially when traders seek to realize profits before the market adjusts further.

Unlocking PI Chart | Source: PiScan## Will PI fall or surge?

Since July 15, the price of PI has been stuck in a narrow range of 0.43 – 0.46 USD, continuously failing in its attempts to break through the upper resistance level due to weak demand. This has caused the token to continue to move sideways and has not yet established a clear trend.

In the spot market, liquidity continues to weaken. The trading volume in the past 24 hours has decreased by an additional 14%, only about 77.7 million USD - a sign that investor interest is declining and the probability of a price reversal is quite low.

When both the price and volume are declining, it reflects weak momentum from both the buyers and sellers, while also indicating that confidence in this asset is being eroded.

PI Price and Trading Volume | Source: SantimentTechnical indicators are also reinforcing a negative outlook. The Balance of Power indicator (BoP) of PI is currently at -0.64, indicating that the selling side is completely dominant, while the buying force is almost insufficient to resist.

Negative BoP usually comes with strong selling pressure and warns of the risk of a price drop if new capital does not appear. In this context, if trading volume does not recover, the possibility of PI continuing to face pressure and potentially testing the support zone of 0.4 USD is entirely possible.

PI BoP | Source: TradingViewPI is currently holding above the 0.437 USD level – a support level that previously played a fundamental role in the accumulation zone marked in blue on the 4-hour chart(. However, the recovery momentum remains weak as PI continues to struggle to maintain this zone with long wick candles, while the "path of least resistance" still leans towards a downtrend.

If the closing decision is below 0.437 USD, the price may retreat to test 0.42 USD )the bottom on 15/7, and even fall to 0.4 USD – a level that was previously tested on 13/6.

The moving average convergence divergence (MACD) has crossed below the 0 mark, while the red histogram bars continue to expand – a sign that the bearish momentum is increasing and the sellers are gaining the upper hand.

Meanwhile, the RSI index on the 4-hour frame is maintaining around 40, reflecting a clearly weakened buying pressure. If the RSI slips below 30, PI will fall into the oversold zone, which may trigger a short-term technical bounce, but it is difficult to reverse the trend without new money support.

To regain the upward momentum, the buyers need to reclaim the 200-period EMA around 0.495 USD. At that point, the price could extend the recovery trend towards 0.543 USD – the next important resistance zone.

Price chart PI | Source: TradingViewAnnie