Pi Coin Price Could Be Looking at Dogecoin ETF Launch for a Relief Bounce — Here’s Why
Pi Coin’s value has slipped practically 15% over the previous month. In the final 24 hours, it edged greater by about 1%, however general momentum nonetheless seems weak.
With the token hovering close to $0.34, many merchants worry a retest of its all-time low round $0.32. Yet an unlikely sign may supply a short-term raise. It might come from the Dogecoin ETF launch.
Correlation With Meme Coins Could Drive The Price Up
One of the clearest indicators comes from correlation. Pi Coin has proven a one-month Pearson correlation of 0.79 with BONK and 0.62 with Shiba Inu.
The Pearson correlation metric measures how intently two property transfer collectively, with 1.0 that means excellent correlation. At 0.79, Pi Coin and BONK are strongly aligned.
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This issues as a result of Bonk is among the leaders within the meme sector. If the Dogecoin ETF (DOJE) launch sparks a rally throughout meme cash, Pi Network (PI) may comply with swimsuit, because of its shut ties to meme cash.
At the identical time, cash flows are turning barely bullish. The Chaikin Money Flow (CMF), which tracks whether or not cash flows in or out of an asset, has flipped constructive at +0.02.
The final time CMF made such a shift, on August 30, Pi Coin noticed a fast inexperienced bounce. With CMF rising simply as Pi Coin value strengthens its hyperlink with BONK, the timing is probably not coincidental. The two indicators counsel patrons are positioning if the meme coin area will get a enhance from the $DOJE ETF launch.
For a stronger transfer, CMF would want to rise towards +0.08, the extent seen in late August. That would affirm that bigger cash flows are backing the correlation story. But proper now, Pi Coin merchants would take something, even a small CMF uptick.
Bearish Grip on Pi Coin Price Weakens however Not Broken Yet
Another indicator, the Bull-Bear Power (BBP), helps merchants measure the power of shopping for versus promoting. Since September 2, BBP has proven that promoting stress is easing.
Bears nonetheless management the Pi Coin value chart, however their edge is shrinking. In previous circumstances, this softening has led to short-lived upward bursts. If sellers lose power, even a small push from patrons can set off a bounce.
The bear energy waning earlier than the large meme coin ETF occasion additional validates the angle.
The technical chart nonetheless leans bearish, although. The Pi Coin value trades inside a descending triangle, a sample normally linked to breakdowns. Price help sits close to $0.33 and $0.32, and if damaged, the PI value may take a look at new all-time lows, defeating the bounce thesis.
Unless bulls can push Pi above $0.36, the bearish setup stays intact, and even a bounce would possibly simply find yourself being one inexperienced candle and never a grouping.
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