The cryptocurrency market is experiencing a significant downturn, with several altcoins recording substantial losses. Pi Network (PI), SPX6900 (SPX), and Celestia (TIA) have all seen double-digit declines over the past 24 hours, continuing a broader correction that began earlier in the week. This risk-off sentiment appears linked to shifting dynamics in Middle East tensions and an upcoming deadline for a 90-day tariff suspension.
Pi Network Price Drops as Momentum Fades
Pi Network's price has decreased by 2% as of Friday, extending a 9% drop from the previous day. PI is now at risk of losing the 28% gains it achieved earlier in the week after facing rejection at the $0.66 resistance level.
A deeper correction could test the weekly low of $0.49, putting the psychological support level at $0.50 in jeopardy.
Momentum indicators are showing a loss of bullish bias. The Moving Average Convergence Divergence (MACD) indicator is gradually approaching its signal line, with the intensity of the green histogram bars decreasing. The Relative Strength Index (RSI) has fallen to 43, dropping below the midline and indicating weakening bullish momentum.
However, with a potential announcement of generative AI features expected on Saturday, a close above $0.66 could extend the upward trend toward the $0.86 level, marked by the May 21 high.
SPX6900 Meme Coin Risks Falling Below $1
The SPX6900 meme coin is losing ground as bullish momentum wanes, resulting in a 12% drop over two days. As of writing, SPX has declined a further 0.50% on Friday.
The downward move is targeting the 50% Fibonacci retracement level at $1.02, drawn from the year-to-date high and low range of $1.80 to $0.25. A clear break below this 50% level could test the monthly low of $0.91.
The MACD indicator shows both the MACD and signal lines declining toward the zero line, with red histogram bars emerging, suggesting a surge in selling pressure. The RSI is hovering near the midline, indicating uncertainty in trend momentum.
If SPX reclaims the 61.8% Fibonacci level at $1.21, it could rally toward the 78.6% level at $1.47.
Celestia Fails to Break Out of Downtrend Channel
Celestia is trading slightly higher on Friday after two days of intense selling that erased its weekly gains. TIA faced rejection at the resistance trendline of its descending channel, which connects points from May 14, June 11, and June 25.
The support trendline connects lows from May 17, May 31, and June 22. Celestia's downtrend is targeting the monthly low of $1.31, and a close below this level could test the support trendline near the $1.00 integer mark.
The MACD indicator has failed to generate a clear buy signal as the MACD and signal lines converge, risking a return to the downtrend. The RSI is floating at 33, just above the oversold boundary, indicating a bearish bias.
A close above the weekly high of $1.68 would break the upper trendline, potentially extending the trend toward the monthly high of $2.30.
Frequently Asked Questions
What caused the recent drop in altcoin prices?
The broader cryptocurrency market is experiencing risk-off sentiment due to geopolitical tensions and macroeconomic uncertainties, including an upcoming deadline for tariff suspensions. This has led to increased selling pressure across many digital assets.
How can traders identify potential support levels?
Traders often use technical analysis tools like Fibonacci retracement levels, historical price points, and trendline supports to identify areas where buying interest might emerge. Psychological price levels, such as round numbers, also frequently act as support.
Is now a good time to buy these altcoins?
Market timing is extremely difficult, especially during periods of high volatility. While some investors look for buying opportunities during downturns, it's essential to conduct thorough research and consider your risk tolerance. 👉 Explore more strategies for managing market volatility
What are the key indicators to watch for a trend reversal?
Common indicators include a bullish MACD crossover, RSI moving out of oversold territory, and a break above key resistance levels. Volume analysis can also confirm whether a price move is supported by market participation.
Could these assets recover their losses quickly?
Cryptocurrency markets are known for their volatility, and rapid price swings in both directions are possible. However, recovery depends on broader market sentiment, project-specific developments, and overall investor confidence.
How important is market sentiment for altcoin prices?
Market sentiment is a crucial driver for altcoin prices, often overshadowing fundamentals in the short term. News events, social media trends, and overall risk appetite in financial markets can significantly impact these assets. 👉 View real-time tools for tracking market sentiment
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