Pi Network Price Rises 0.6% Amid Bullish Technical Signals

Pi Network's price has seen a modest increase of 0.6% in the past 24 hours, currently sitting at $0.5818. This rise comes as the recent selling pressure has eased, leading to a significant drop in trading volumes to $38.4 million, a stark contrast to the nearly $1.5 billion traded in a single day in early April. The lower volume suggests a waning interest from traders, and the price is now consolidating in a narrow range, a setup that often precedes a major breakout.

The Bollinger Bands indicator shows significant price compression, with the upper and lower bands being the tightest they have ever been since the Pi Network public mainnet was launched. This compression suggests that a breakout is imminent, and the price action appears to favor a bullish outcome as the token has moved above the upper Bollinger Band with strong trading volumes. A break above the $0.6000 level would favor a bullish outlook for Pi, while the key support to watch currently sits at $0.5700, the token’s nearest lower low.

Momentum indicators also favor a bullish outcome in the hourly chart. The Relative Strength Index (RSI) has been trending higher and currently stands above its 14-day simple moving average (SMA). Meanwhile, the MACD’s histogram is still in positive territory and has been trending higher lately as well. If PI breaks above its 200-hour EMA, this would confirm a strong bullish push that could propel the token to the $0.7000 area.

However, the token’s prospects have also been affected by the reluctance of top exchanges to list PI due to the network’s complex Know Your Business (KYB) protocols. Additionally, the project’s monthly unlock schedule indicates that a significant number of tokens will be added to the circulating supply in the coming months, which could favor a bearish Pi price prediction. This implies a 6.5% supply expansion in just two months, which could put downward pressure on the price.

In summary, while the technical indicators suggest a potential bullish breakout for Pi Network, the fundamental factors such as the reluctance of exchanges to list PI and the upcoming supply expansion could pose challenges to the token’s price appreciation. Traders and investors should closely monitor these developments and consider both the technical and fundamental aspects before making any investment decisions.