- Pyth Network price retreats from a six-month high as key resistance halts Thursday’s 99% rally.
- Overbought Stochastic and multi-month Megaphone resistance spark consolidation in PYTH after a strong rally.
- Clear break above 200-day SMA supports buyers, but short-term pullback risks still linger.
- PYTH price shows signs of long-term consolidation within a broader pattern.
Pyth Network (PYTH) price slips 3.0% to $0.2240 on Friday, cooling off after a massive 99% rally to a six-month high.
The drop comes as PYTH reacts to the upper boundary of a megaphone pattern from March, with overbought signals from the Stochastic momentum indicator adding pressure.
Notably, the quote’s successful break of the 200-day Simple Moving Average (SMA) and news surrounding the U.S. Commerce Department’s partnership with the Pyth Network to publish GDP data on the blockchain propelled the PYTH price the previous day.
Also read: Pyth Network Selected to Distribute U.S. Economic Data On-Chain; Token Surges 60%
Meanwhile, PYTH’s daily trading volume and market capitalization data also show strong trader participation and hence don’t really suggest a total reversal of the previous day’s rally. According to Santiment, the PYTH daily trading volume jumps to an all-time high of $2.43 billion while the market cap is around $1.25 billion by press time. This may sound controversial, but its possible!
Hence, while the technical pullback in the PYTH price is overdue, the long-term consolidation pattern may hold.
Pyth Network Price: Daily Chart Suggests Long-Term Consolidation
A clear U-turn from an ascending resistance line from March, forming part of the trend-widening megaphone pattern, joins the nearly overbought Stochastic to suggest further consolidation in the PYTH prices.
This highlights the 23.6% Fibonacci retracement of the quote’s downturn from December 2024 to June 2025, close to $0.1930, with the $0.2000 psychological magnet acting as an immediate support.
Still, the 200-day SMA of $0.1415 and a two-month support line, close to $0.1090, can challenge the PYTH bears afterward; if not, then the yearly low of $0.0818 and the megaphone’s bottom of $0.0670 will be in the spotlight.
On the contrary, PYTH recovery remains elusive below the recent peak of $0.2503, a break of which will defy the trend-widening pattern and can propel prices to mid-February swing high near $0.2650.
Beyond that, the 38.2% and 50% Fibonacci ratios, respectively near $0.2625 and $0.3182, with the $0.3000 threshold acting as an intermediate halt, could lure the bulls before the yearly high of $0.4057.
Conclusion
Pyth Network’s latest fall is only a pullback that’s part of a healthy consolidation after a strong rally, with key support levels in place.
While short-term downside risks remain for the PYTH price, the long-term outlook stays bullish, especially if prices break above recent highs. Traders should watch for signs of further recovery or continued consolidation.
Also read: Market Digest: Bitcoin Holds at $112K as Wall Street Rallies on Economic Recovery
