Pi Network [PI] Surges 92.17% in Week, Eyes 49% Rally

Pi Network [PI] has experienced a significant surge in value, with a 92.17% increase in the past week alone, bringing its total gain over the past month to 51.26%. This bullish momentum has positioned PI at a critical juncture, with an upcoming ecosystem update scheduled for May 14th. Previous updates have historically triggered rallies, as they are seen as bullish catalysts for the asset's upward movement.

At the time of writing, PI was trading within a key supply zone, which typically prompts a pullback. However, the price has remained resilient within this range, indicating strong bullish pressure. This suggests that traders are not convinced to sell and view this range as an accumulation opportunity. If bulls gain strength at this level, PI could break out of the supply zone, with potential targets of a 49% rally to $1.82 and a broader move to $3 after a 146% surge. Conversely, a breakdown from this pattern could imply a drop toward the demand zone below the $1 region.

Technical indicators present a slightly different, though still bullish, outlook. The current rally is backed by the Average Directional Index (ADX), which measures the strength of a market trend. An upward trend in the ADX suggests strong momentum, while a downward move indicates weakness. At present, PI’s price and the ADX are both trending upward. However, the Relative Strength Index (RSI) suggests that PI may consolidate within its current support zone, as it has crossed into the overbought zone, indicating that at its current price, PI is overvalued and needs to rebalance before making its next move. This rebalancing is likely to involve consolidation, given the bullish sentiment. However, if sentiment shifts, the price could decline.

Investors remain predominantly bullish on PI and anticipate a rally. At press time, 89.5% of investors indicate they’re willing to purchase the asset. If this cohort is correct—which has often been the case—PI will likely continue rallying from its current price, potentially reaching as high as $3. However, a closer look at the charts reveals a slight shift in community sentiment from previous highs as the price approached this level.