Pi Coin's Mainnet Migration Fuels Hope, But Technicals Signal Caution

Pi Coin (PI) has surged nearly 24% in the past 24 hours, cutting its monthly losses to about 4%, as the network's ongoing migration to mainnet and Know Your Customer (KYC) verification processes fuel optimism among users, according to a Yahoo Finance analysis. The token, which trades near $0.20, faces critical technical resistance at the 50-period Exponential Moving Average (EMA) and the Pivot Point at $0.2086, with a decisive close above these levels potentially triggering a broader rally, per an FXStreet price forecast. However, underlying indicators suggest the recent rebound may be part of a larger bearish structure unless sustained buying pressure materializes, the Yahoo Finance analysis adds.

The Pi Network's migration to mainnet has driven increased demand, with 2.69 million verified users transitioning from testnet to mainnet in recent weeks. Over 3.36 million additional Pioneers have completed KYC verification, enabling token transfers and signaling progress toward the network's goal of building a decentralized community, the FXStreet price forecast reports. Despite these developments, the token's price remains down over 40% from its peak in February, raising concerns about liquidity and exchange listings. Daily trading volume has stagnated below $30 million, a stark contrast to its $3 billion high earlier this year, according to a Coinpedia report.

Technical analysis highlights a fragile setup for PI. While the 20-period EMA has crossed above the 50-period EMA on the 4-hour chart—a potential short-term bullish signal—the Money Flow Index (MFI) and Relative Strength Index (RSI) show weakening momentum. A hidden bearish divergence emerged between October 6 and 27, as prices formed a lower high while RSI printed a higher high, suggesting the uptrend may struggle to sustain itself, the Yahoo Finance analysis notes. Meanwhile, outflows from centralized exchange wallets—surpassing 1.17 million PI in 24 hours—indicate reduced supply pressure and hint at further upside potential if the breakout holds, the FXStreet price forecast adds.

Pi Coin's price action has also become correlated with meme coins like Dogecoin (DOGE) and Bonk (BONK), with a Pearson correlation coefficient of 0.87 and 0.94, respectively. This link has amplified volatility, as PI mirrors the 20%-30% monthly drawdowns seen in meme tokens, according to a Yahoo Finance article. Analysts note that a recovery in the broader meme coin cycle could provide a tailwind for PI, particularly if its RSI divergence resolves into a bullish reversal, the Yahoo Finance article adds.

The path forward remains uncertain. A successful breakout above $0.2086 could target $0.2249, but failure to hold key support levels—such as the $0.1919 October low—risks reigniting the downtrend, the Yahoo Finance analysis warns. For now, Pi Network's technical foundation and user migration efforts offer a glimmer of hope, but structural challenges, including limited exchange listings and low liquidity, continue to weigh on the token's long-term prospects, the Coinpedia report observes.