Pi Coin is off in a bearish cycle, hitting an all-time historic low of $0.40003. On August 1, it is trading very slightly higher at $0.405, down 3.45% over 24 hours. Traders monitor open interest now for predicting its next direction.
Fibonacci retracement levels predict the pain won’t stop at $0.32. Further selling can push the price all the way down to $0.10. Technicals mark weak support regions underneath the current threshold, leaving Pi at risk of more decline if sellers continue in control.
Pi Scan numbers indicate over 162.8 million brand-new tokens entering the marketplace during the month of August, adding $66 million to the mix. Circulating supply increases 2.10%, a substantial percentage in a marketplace already short on demand for the marketplace to sustain as it is.
As more tokens enter the market and demand is sluggish, panic selling is in store. If that happens, Pi Coin may retest historic lows or break through them. The month of August can be distressing for Pi investors unless sentiment changes soon.
August sell-off may push Pi Coin below $0.36
Pi Coin fell 18% in July from $0.65 to $0.42. With fewer tokens being launched in August, 9% is still within reach. That would leave Pi Coin at $0.367, the newest record low if bears remain in control and buyers are nowhere in sight.
Looking ahead, token unlocks will ease after August. September may unlock 117 million, October 93 million, and November 102.9 million. A larger unlock is forecasted in December, with 170.5 million tokens hitting circulation, potentially causing another sell wave.
Traders still eye $0.50 amid rising open interest
Pi slid 8% last week, currently trading at $0.405. A breakdown would then have the next key support at $0.39. The RSI stands at 35, revealing weak demand and continued risk of breakdown unless sentiment reverses soon.
But rising open interest tells otherwise. Data from Coinanalyze shows a surge to $30 million while the prices were going down. That means traders are opening fresh positions, possibly hoping for a flip. In case bullish bets continue, Pi can attempt and rebound towards $0.45 or maybe $0.50.
Some declines include reversals, with shorts being squeezed. If bullish set-ups exist as indicated by open interest, then that can support Pi’s rebound. But if shorts keep waging bets on further decline, then the decline may be being initiated and have no bottom yet.
