Pi Network price has been in a deep slumber over the past two months as demand from retail investors waned. The token was trading at $0.2250, a range it has been in since October last year. It remains well below the all-time high of $3. So, will the $PI token rebound soon?
Pi Network Price Could Replicate Zcash Surge
The daily timeframe chart shows that the value of Pi has remained inside a narrow range in the past few months. It has remained inside the key support at $0.1960 and the resistance at $0.2930.
The ongoing consolidation is part of the accumulation phase of the Wyckoff Theory. This phase is characterized by horizontal movements, low volume, and has clear support and resistance levels.
The accumulation phase is followed by the markup phase, characterized by high demand. Fear of Missing Out (FOMO) often occurs during this period.
There are parallels in the ongoing performance of the Zcash price, which recently surged from below $50 to over $700 in just weeks.
The challenge, however, is that the four phases of the Wyckoff and the Dow theories take a long time to form. In Zcash’s case, the accumulation has taken over 10 months, while Pi Network has remained in this stage for months.
There are other reasons why the token may surge. One of them is that its volatility has dropped, as evidenced by the Average True Range (ATR) declining. The spread of the three lines of the Bollinger Bands has narrowed substantially.
Therefore, the token is likely to experience a short squeeze in the coming weeks. If this happens, the next key level to watch will be $0.50, up about 130% from the current level. The bullish Pi Coin price will become invalid if it drops below the year-to-date low of $0.1900.
Why Pi Coin Price May Surge Soon
The Pi Coin price may stage a strong rebound in the coming weeks because of potential catalysts. First, the coin is seeing aggressive accumulation by the biggest whale, who has bought 376.3 million tokens in the past few months. This buying could be a sign that he expects the price to continue soaring.
Second, the coin may surge if it receives ISO certification, as some anonymous users have suggested. Such a certification will push top crypto exchanges like Binance and Coinbase to list it.
Additionally, the team has made some important developments recently. For example, they launched an AI-powered platform to accelerate KYC verification, which has since onboarded millions of users.
Pi Network has likewise made some notable upgrades in the past few months as it works to boost the ecosystem. They recently announced a major investment in OpenMind, which will open an avenue for node operators to earn more in the AI space.
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