The PI Network token faces a consistent decline over 13 days post a local rally, encountering resistance and risks.
PI Token Decline
In the past week, the PI token has dropped over 20%, falling from the 17th to the 27th position in market rankings. Its market cap now stands at $6.2 billion, reflecting a loss of more than $1.4 billion over the same period. Factors contributing to the decline include token unlocks, increased activity on centralized exchanges, and major exchanges ignoring listing requests.
PI/USDT Chart Update
Analysis of the PI/USDT chart on TradingView highlights a falling wedge pattern on the 4-hour timeframe, typically considered bullish. Support is near $0.87, indicating buyers' efforts to push prices higher, as PI consolidates below its 20-day Moving Average.
Breakout Potential
The falling wedge pattern suggests growing buyer interest with diminishing selling pressure, potentially leading to a breakout above the upper trendline. Despite the addition of PiDaoSwap to the Pi ecosystem, buyers are yet to show significant confidence. Potential for an upward move exists, but traders are advised to use additional indicators for confirmation.
The current state of the PI Network token reflects a prolonged decline, though chart patterns suggest a possible reversal requiring further confirmation.
