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Pi Network December Preview: Mixed Signals for PI
Pi token (PI) outperformed many major cryptocurrencies in November, posting relatively modest losses while Bitcoin (BTC) declined sharply. However, technical indicators suggest caution for December: the Relative Strength Index (RSI) and Chaikin Money Flow (CMF) are signaling weakness that could extend a longer-term downtrend for this altcoin.
Negative BTC Correlation and Recent Performance
One notable dynamic is PI's inverse correlation with Bitcoin — when BTC slides, PI has often held ground or even advanced, and vice versa. That relationship helped PI limit its recent drop to around 2.6% last month, compared with an approximate 19% slump in BTC. Still, correlation patterns can shift quickly in volatile crypto markets.
Technical Risks: RSI Divergence and Outflows
On the three-day chart, hidden RSI divergence alongside a negative CMF points to institutional or big-money outflows and persistent market weakness. Traders tracking on-chain flows and momentum indicators should treat these as warning signs when sizing positions in PI.
Key Price Levels to Watch in December
Critical support and resistance levels will likely define whether PI resumes a bullish path or slides further.
Support
Vital support at $0.20 — a break below this level could open the door to $0.18 and, in a deeper sell-off, $0.15.
Resistance
Primary resistance sits at $0.28. A sustained breakout above $0.28 could target $0.36 and, if bullish momentum strengthens, potentially $0.46.
For traders and investors, combining RSI, CMF, on-chain flow data, and Bitcoin correlation analysis will be important when forming a risk-managed view on PI in December.
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