A Pi coin price crash alone will not make it bullish – this level is more important

Paycoin (PI) is trading near $0.205 and remains stable in the last 24 hours. The price of PayCoin increased in a narrow range for most of December, increasing only 0.2% in seven days and still more than 17% in one month.

The overall trend remains weak, so attention shifts to shorter timeframes. It forms a short-term breakout setup, but buyers need more than one breakout to confirm strength.

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Short-term breakout setup needs confirmation

In the four hour frame, the PI coin tries Formation of an inverse head and shoulders patterna structure that often appears near potential lows. The neckline is located near $0.208. Closing above this level for four hours opens the way to $0.216, an increase of only 3.5%. But this potential discovery is only the first step.

Support is found at $0.203. Losing this level weakens the model. Below $0.200, the short-term setup fails and momentum returns to the downside.

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There is a reason why this hack attempt is so important. The Chaikin Money Flow (CMF) indicator, which tracks capital flow through price and volume, has finally broken its downtrend line. If the CMF indicator manages to stay above zero in the 4-hour frame, it supports the idea of ​​a new order entering the market. If the CMF indicator goes back below zero, the breakout loses its credibility.

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BeiCoin PI is currently located In the stimulation areaAnd there is no certain recovery. For further analysis on the breakout-led recovery theory, the daily chart indicators should be reviewed.

Buy on the dip is visible on the daily chart, but the price of Pi coin remains intact

It shows on daily time that the PI price bottom remains neutral to bearish.

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In particular, between December 19 and December 29, the PI price trended lower, while the Money Flow Index (MFI), a potential tool for measuring dip buying, reached a higher peak. Consider this a small bullish divergence, indicating that buyers are starting to enter the dips. The increase in the Money Flow Index showed support for rebound attempts, but did not confirm a change in trend.

The daily range is currently marked with resistance at $0.213 and support at $0.191.

Note that if a daily movement is found above $0.213 it will be the first strong signal that buyers are ready to challenge the general trend. I expected that this level was more important than the simple breakdown in the 4 hour frame because it overlaps with the range resistance that persists from the beginning of December.

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You are indicated BeInCrypto If PI crosses the $0.216 level according to the four-hour breakout scenario, it will automatically cross the first crucial daily resistance level at $0.213. I think the $0.216 level (breakdown target according to the 4-hour chart) is the most important in the short term.

It could then try to move towards $0.248, a level it has not been able to recover since November 29. Consider this the point at which the upward momentum starts to be significant.

Confirm that below the level of $0.191 all the formations break (even the 4-hour farm plan), and the market is back under the control of the bears.