Pi Network maintains a strong support zone as social discussions heat up

Pi Network (PI) is fluctuating around the $0.2100 USD mark at the time of writing on Saturday, showing signs of stabilization after two correction sessions with an approximate 2% decline. Although PI’s trading liquidity continues to weaken, the surge in social media presence reveals the possibility that retail investors are gradually returning to the market. Technically, the outlook for PI remains mixed, as the Bollinger Bands have narrowed significantly – a signal often seen before a major volatility, which could be in either upward or downward direction.

Increased social media dominance may boost retail demand

Data from Santiment shows that PI’s social media dominance has risen to 0.046%, compared to just 0.004% on Wednesday, indicating that discussions around Pi Network are heating up considerably. This growing interest reflects strong community attention, and if the trend continues, retail investor inflows are likely to pick up, potentially acting as a catalyst for PI’s next recovery phase.

Social dominance of Pi Network | Source: Santiment## Pi Network faces deep decline risk if key support is lost

From a technical perspective on the daily timeframe, Pi Network is currently oscillating around the 20-day simple moving average (SMA) at $0.2068 USD, following a slight correction earlier in the week. Notably, the PI price is gradually consolidating above the psychological level of $0.2000 USD, as the Bollinger Bands continue to contract — a sign that the market is in a sideways phase and accumulating momentum ahead of a new move.

On the positive side, the Squeeze Momentum indicator, used to identify low-volatility periods before a breakout, has shifted from red to green bars, signaling a potential recovery in an upward direction.

Daily PI/USDT chart | Source: TradingViewHowever, the decline in trading volume along with the On Balance Volume (OBV) indicator moving sideways reflects cautious demand. This suggests that the current bullish momentum is not yet strong enough to confirm a sustainable uptrend.

For the next scenario, to sustain the upward momentum, PI needs to successfully break the December 19 high at $0.2177 USD with a clear daily candle close, opening the door to challenge the resistance zone at Pivot R1 at $0.2321 USD.

Conversely, if the $0.2068 USD support level cannot be maintained, selling pressure may increase, pushing the price back toward the psychological support at $0.2000 USD, or even lower toward the Pivot S1 around $0.1835 USD.

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