The Pi Coin price value has plummeted by double digits from its all-time high as many pioneers capitulated and sold their coins. The token has plunged from nearly $3 in February to the current $0.4512. This article explores the top four reasons the Pi Network price is on the verge of surging.
Pi Coin price value has strong technicals
The first main reason why the value of the Pi coin is on the verge of a major breakout is that it has some of the best contrarian technicals.
First, its sideways movement and low volatility is a sign that it has moved into the accumulation phase of the Wyckoff Theory. Wyckoff is a concept started many years ago that explains how asset prices move.
The accumulation phase is characterized by low volatility and volume and sideways movement. It is characterized by slow buying or accumulation by smart money investors.
The next stage is known as markup and is characterized by high volume and parabolic moves. It also happens when there is more demand than the available supply.
There are signs that the Pi Network is now in the accumulation phase and will then enter the markup in the next few weeks or months.
Further, the Pi Coin price has formed a giant double-bottom pattern at $0.4087 and a neckline at $1.6693. This pattern could trigger the next Pi coin short squeeze as it did with most altcoins this week.
Pi Network token price has also formed a falling wedge pattern, which comprises of two descending and converging trendlines. It is also a highly popular bullish reversal sign in technical analysis.
These patterns will become invalid if the Pi Coin price crashes below the lower side of the double-bottom chart pattern.
Pi Network exchange listings
The other potential catalyst that may push the Pi coin price higher is the slim chance that there will be exchange listings this year.
Pi Network is now listed on just a handful of exchanges like OKX, Gate, and MEXC. While no major exchange has signaled that it will list it soon, at least one tier-1 exchange will likely do that.
Some of the most notable companies that may do this are Binance, HTX, Kraken, and Upbit. Such a listing will push the token much higher immediately it happens.
Crypto market rally
The other key aspect that may push the Pi Coin price up is the ongoing crypto market rally. Bitcoin price surged to over $123,000 today, while most tokens like Cardano and Solana soared.
Historically, a crypto market rally leads to gains across most altcoins as investors embrace the concept of fear of missing out (FOMO). There are odds that this rally will last for a while as Bitcoin and Ethereum rallies at a time when their supply in exchanges is falling.
Ecosystem growth
Furthermore, the Pi Coin price is expected to rally due to its ecosystem growth. Pi Network developers launched the $100 million Pi Network Ventures in May. This program will invest these funds to companies building products in the ecosystem.
The developers also launched the Pi AI Studio recently. This studio will provide a platform for users to build AI applications, which is a notable thing because of the ongoing hype.
Pi AI Studio will also be powered by tools in its ecosystem, like its .pi domains and the a network.
Therefore, a combination of factors, including its strong contrarian technicals, ecosystem growth, and the potential for a crypto market rally will push the Pi Coin price higher.
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