Pi Network Price Forecast: How is the market sell-off after US midterm elections weighing on PI?

• Selling continues to weigh on Pi Network on Friday, with the token hovering around $0.0750 as a long-term resistance trendline keeps its ongoing downtrend intact.
• A wider risk-off sell-off unwound the post-election rally on Thursday, pushing long liquidations across the crypto market above $1 billion.
• Persistent selling pressure keeps the technical outlook for PI bearish.

Selling pressure remains firmly in place for Pi Network (PI) after the US midterm results sparked a sell-off in US technology shares and wiped more than $1 billion off the crypto market. With sentiment towards cryptocurrencies weakening and sellers maintaining their grip, PI risks another leg lower below its record low of $0.0704.

Why are the US midterm results weighing on crypto?

Concerns over tighter crypto and AI regulation drove a sharp retreat in cryptocurrencies on Thursday, triggering more than $1 billion in long liquidations. As previously reported by FXStreet, those concerns centred on Democrats controlling the US Senate and House of Congress. Meanwhile, CoinMarketCap’s Fear and Greed Index fell from 36 last week to 31 on Friday, pointing to sustained risk aversion despite a brief recovery on Tuesday, when the midterm results were announced. 

High-risk crypto assets such as PI typically come under pressure when uncertainty grips the broader market. Greater political clarity in the US may be needed before investors see the relief rally they are looking for.

Technical outlook: Can PI hold its last line of support?

The near-term bias remains bearish for Pi Network, which is trading around $0.0756 at the time of writing on Friday. At that level, PI remains well beneath its 50-day and 200-day Exponential Moving Averages (EMAs), positioned at approximately $0.0817 and $0.1101, respectively.

With its positive histogram shrinking, the Moving Average Convergence Divergence (MACD) is at risk of slipping below its signal line. At the same time, the Relative Strength Index (RSI), near 37, signals fragile momentum and a drift towards oversold territory.

On the downside, the October 15 low of $0.0740 provides the only nearby structural support. Beyond that lies the record low of $0.0704, reached on July 14, where buyers may attempt to protect the current range should selling pressure return.

Any recovery would first encounter resistance around $0.0770, near the trendline break area, before reaching the 50-day EMA at $0.0817. Further hurdles lie at the 50% retracement level near $0.1049, calculated from $0.1394 to $0.0704, and then at the 200-day EMA of $0.1101.

(The technical analysis of this story was written with the help of an AI tool. Know more.)