Pi Network Upgrade Fails to Lift PI Price as Bearish Signals Dominate - Here’s Why Traders Aren’t Buying It

Another upgrade, another disappointment—Pi Network's latest technical enhancements crashed headfirst into crypto's brutal reality check.

Market Mechanics Exposed

Network upgrades typically fuel bullish momentum, but PI's token economics defied conventional wisdom. Selling pressure overwhelmed any technical improvements, leaving traders questioning whether fundamentals even matter in this sentiment-driven market.

The Institutional Cold Shoulder

Major exchanges continued sidelining PI despite the upgrade, maintaining their cautious stance toward pre-mainnet tokens. This institutional hesitation created an invisible ceiling that retail enthusiasm couldn't break through.

Deflationary Measures Backfire

Instead of stimulating demand, the upgrade's token burn mechanism was met with skepticism. Traders interpreted reduced supply as preparation for insider distributions rather than genuine scarcity creation.

Because nothing says 'decentralized future' like watching your portfolio dip while developers promise the moon.

PI Shows Modest Gains, But Lack of Buy-Side Support Raises Concerns

Today, the token has posted a modest 2% gain, reflecting broader market buying activity. However, its daily trading volume has declined nearly 20%, suggesting that sell pressure persists among investors.

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When an asset’s price rises while trading volume falls, it signals that the price increase is not backed by strong buying interest. 

In such cases, a small number of trades can MOVE the price upward, but the lack of widespread participation indicates that the rally may not be sustainable. For PI, this suggests that while some investors are buying, many are still hesitant, keeping overall market momentum weak.

Moreover, negative readings from the Elder-Ray index confirm this bearish outlook, showing that market sentiment remains cautious despite the protocol upgrade. At press time, this is at -0.0237.

The Elder-Ray index measures the strength of buyers (bull power) and sellers (bear power) in a market. A negative value indicates that bears dominate, suggesting that selling pressure outweighs buying interest. 

PI’s Elder-Ray index has consistently posted negative values since August 14, highlighting persistent weakness in market sentiment. This sustained bearish reading reflects the token’s challenge of attracting demand.

PI Eyes $0.37 Upside, But Bears Could Push Below $0.32

At press time, PI trades at $0.34, hovering just above its support floor of $0.32, which marks the token’s all-time low. Should bearish pressure intensify, the price could retest this level or even break below it to establish new lows. 

Conversely, PI could climb toward $0.37 if new demand picks up.