Pi Coin Bounces Back from 22% Plunge as Technical Indicators Signal 275% Upside with $0.40 Support Key

Pi Network’s (PI) token has faced a significant downturn, plummeting over 22% in recent months, but technical indicators and market dynamics suggest a potential reversal could be on the horizon. As of July 26, the token traded at $0.44, hovering just above its all-time low of $0.4010. Analysts point to key technical patterns, including a double-bottom formation at $0.4010 and a falling wedge, as signs of a possible bullish rebound. A breakout above the $1.6656 neckline—implying a 275% gain from current levels—could signal further momentum toward the historical high of $2.98, a 570% increase. However, the forecast remains contingent on sustaining price above the critical $0.40 support level; a breach would invalidate the bullish case [1].

The market context for Pi Network appears favorable. The Altcoin Season Index has risen to 55, indicating a potential environment where alternative cryptocurrencies may outperform. While major tier-1 exchanges have yet to list Pi, speculation persists that such a listing could catalyze a parabolic surge, given the token’s widespread popularity. Additionally, the Pi Network ecosystem has shown growth, particularly in AI applications, following the launch of the Pi AI Studio. This expansion could drive demand and token burn, further supporting price appreciation [1].

The analysis aligns with historical investment strategies emphasizing contrarian timing. Warren Buffett’s 2018 assertion that investors should “buy when others are fearful” has resonated in crypto markets, as seen with Ethereum’s 2023 rebound. For Pi, low volatility metrics like the Average True Range and Bollinger Bands suggest the market is in a Wyckoff accumulation phase, typically preceding periods of strong demand and FOMO-driven buying. These conditions mirror patterns observed in other altcoins during prior bull cycles [1].

Despite these positives, risks remain. The token’s recent price action reflects waning hype, with trading volume declining over the past months. While technical patterns offer a roadmap for potential gains, market sentiment and broader crypto trends will ultimately dictate Pi’s trajectory. Investors are advised to monitor on-chain activity, exchange listing developments, and ecosystem growth as key drivers of the next phase.

Source: [1] [Pi Coin Charts Bullish Path Back to $2.98 as Bulls See Sweet Reversal Ahead] [https://coinmarketcap.com/community/articles/6884c0e1cc8ce42f9a1bae64/]