Big Pi Coin Wallets Turn to the Meme Coin Cycle for a Price Boost — Here’s Why
Pi Coin has slipped barely once more, down 1% in the previous 24 hours, 4.9% over the previous week, and almost 26% this month. The token has been range-bound for days, displaying little enthusiasm from merchants.
Yet, large wallets haven’t utterly walked away. Instead, they seem to be watching for a clearer sign — and that cue may come from the meme coin cycle. Surprised? Well, learn on to understand how the meme coin connection can influence the Pi Coin value.
Meme Coin Link Meets a Bullish Signal
Over the previous month, Pi Coin’s price swings have began to mirror these of Dogecoin and Bonk. Its correlation coefficient now stands at 0.87 with DOGE and 0.94 with BONK, that means it typically strikes the identical means as these meme tokens.
The Pearson correlation coefficient measures how intently two property transfer collectively, with values close to 1 displaying robust optimistic correlation.
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This tight hyperlink factors to one factor: PI is now closely influenced by the broader meme coin sentiment. And the month-to-month Pi Coin value drawdown of 26% additionally validates this affect. The month-on-month dip falls between Dogecoin’s 20% and Bonk’s 30% drops.
The Relative Strength Index (RSI) — which tracks momentum — on the every day chart is hinting at a attainable rebound. Between September 23 and October 22, Pi’s value made decrease lows, however RSI made greater lows, forming a bullish divergence.
That means momentum is enhancing whilst value traits down. If meme cash recuperate, PI’s RSI setup might give it a push upward, supported by lingering curiosity from bigger holders. More about them later on this piece.
And if the broader altcoin market begins reacting once more, this correlation might play in Pi Coin’s favor, amplifying any rebound that follows the meme coin cycle.
Pi Coin Price Levels and Money Flow Hint at an Underlying Strength
If this bullish divergence unfolds, PI’s first major target sits close to $0.21, simply above its present Fibonacci 0.382 stage ($0.19). A clear every day shut over $0.29 would verify a breakout and invalidate the bearish construction, doubtlessly restoring short-term confidence.
Do word that on the every day timeframe, the PI’s value is buying and selling in opposition to a descending trendline. That trendline, together with clear Fibonacci bases (marked in orange), marks the bearish construction (descending triangle to be precise).
The Chaikin Money Flow (CMF) — which measures how a lot cash is coming into or exiting the market — helps the identical story. Despite falling costs, CMF has stayed optimistic since September 12, displaying that large wallets haven’t absolutely exited.
Between August 29 and October 22, CMF fashioned greater lows, displaying a bullish divergence comparable to RSI and hinting that cash influx continues beneath the floor.
However, if $0.19 fails to maintain, Pi might slip towards $0.18 (0.236 Fibonacci) and even $0.15, marking a 9%–20% draw back and confirming renewed bearish momentum. However, with each RSI and CMF flashing bullish divergence, the odds of a aid rally improve if $0.19 holds.
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