The cryptocurrency market is showing steady bullish momentum; however, Pi Network is under significant pressure. Let's look at the current situation and possible scenarios.
Current Market Situation
Since the start of Q2, the cryptocurrency market has been on a steady rise, with Ethereum (ETH) rallying over 72% in the last 90 days. This recovery has positively impacted many altcoins, but Pi Network (PI) has notably lagged behind.
Technical Analysis of Pi Network
On the 4-hour chart, PI is showing a Right-Angled Broadening Bottom Pattern that has been developing since late May. This technical pattern often signals a potential trend reversal when a breakout occurs upwards. Currently, PI is hovering just above the key support near $0.456, and a further dip toward $0.40 is possible before any significant move manifests.
Development Prospects of Pi Network
If PI bounces from the $0.40 support, this could confirm the pattern's base and lead to a rise back towards the upper resistance near $0.66. A breakout above this top trendline could signal a bullish reversal and open the door for further rallies, potentially targeting around $1.10 — a significant psychological and technical resistance zone. However, it is important to note that if PI fails to hold the $0.40 support, it may trigger further downside.
In conclusion, despite the overall growth of the cryptocurrency market, Pi Network faces challenges. There is potential for a recovery rally, but the key issue is the maintenance of the support level.
