The cryptocurrency market is experiencing a downturn, and Pi (PI) has not been immune to this trend. Over the past 24 hours, the price of PI has declined by around 3%, with its total market cap dropping by about 4.5% and altcoins falling by roughly 2.7%. This broader market risk-off sentiment is largely attributed to Bitcoin's drop below $64,000 post-FOMC meeting.
According to the CMC Fear & Greed Index, the market is currently in 'Extreme fear' territory, reflecting de-risking and lower risk appetite across the market. The index highlights that PI is not alone in its decline, as many other assets are experiencing similar drops in value.
The technical setup of PI's chart also suggests a bearish trend. Analysts describe PI forming a descending triangle pattern near the 0.13 dollar support zone, with resistance zones between roughly 0.13 and 0.145 dollars. This combination of market-wide de-risking and structural supply pressure has contributed to PI's decline.
Another factor contributing to PI's price drop is its thin liquidity. With only around $9.2 million in volume traded over the past 24 hours against a market cap near $1.4 billion, small imbalances between sellers and buyers can move the price several percent. Additionally, sentiment around PI is cautious, with the coin trading near all-time lows.