The PI Network token is in a downward position, encountering strong resistance above $1. Analysis shows the token is losing over 3% of its value in the last 24 hours.
Current State of PI
In the past week, the PI token has lost over 20%, dropping from 17th to 27th in market rankings. Its market cap currently stands at $6.2 billion, reflecting a loss of over $1.4 billion over the same period. Earlier this month, Pi Network introduced two-factor authentication to enhance user security—a key step in transitioning to the Open Network mainnet.
Technical Analysis of PI/USDT
Analysis of the PI/USDT chart on TradingView highlights a falling wedge pattern on the 4-hour timeframe. This pattern, often considered bullish, forms when an asset's price consolidates between two downward-sloping, converging trendlines. Despite consistent lower lows, the narrowing price range points to decreasing volatility.
Breakout Potential
The falling wedge pattern indicates growing buyer interest as selling pressure diminishes, potentially leading to a breakout above the upper trendline. The price has managed to hold firm near support at $0.87 within the descending channel. However, despite the addition of PiDaoSwap, a decentralized exchange in the Pi ecosystem, there is insufficient buyer confidence to significantly raise the price. Currently, PI is trading around $0.91.
Observations of the PI/USDT chart suggest a potential breakout. However, traders are advised to use additional analysis methods to confirm price direction.
