Pi Network Price Has Plunged

Pi Network price has dropped in the past few weeks as its momentum waned. The Pi coin crashed to the crucial support level of $1

Pi Network (PI) price has dropped sharply in the past few weeks as its momentum waned. The Pi coin crashed to the crucial support level of $1, which represents a decline of about 66% from its highest level this year.

It is now trading at nearly its lowest level since February 2022. As the bear market continues, there are several potential catalysts that may help the value of Pi in the coming months.

Pi Network Price Technical Analysis

Technicals suggest the value of Pi may rebound soon in the coming weeks. The two-hour chart shows that the token has been in a strong downtrend recently.

It plunged from nearly $3, following the mainnet launch to slightly below $1. Pi Network price has dropped below the 50-period and 25-period moving averages, a sign that bears are in control for now. It has also moved to the strong pivot and reversal point according to the Murrey Math Lines tool.

On a positive note, the MACD indicator has formed a bullish divergence point. The same applies to the Percentage Price Oscillator (PPO), which is a variant of the MACD indicator.

Another positive development is the formation of a falling wedge chart pattern. This pattern is made up of two descending and converging trendlines, with a bullish breakout happening when they near their confluence level.

Therefore, there is a likelihood that the Pi coin price will soon experience a strong bullish breakout. This breakout may see it soar to an all-time high of $3, which is about 200% above the current level. A drop below the support at $0.70 will invalidate the bullish view.

Pi Network Price Potential Catalysts

There are several potential catalysts that may help the value of Pi in the coming months. First, the coin may rebound if the developers hint at a potential token burn, a situation where coins are removed from the market.

Token burns may help to offset the fears of the upcoming unlocks, which are substantial. The estimate is that it will unlock over 1.6 billion tokens in the next 12 months. The average monthly unlock is estimated to be 129 million Pi coins.

Second, Pi Network price may surge if popular crypto exchanges list it. The most notable of them are Coinbase (NASDAQ:COIN), Binance, and Upbit. It is common for cryptocurrencies to surge after being listed by these exchanges. For example, Orca (CRYPTO:ORCA) price surged by over 200% on Thursday after being listed by Upbit.

Third, Pi Coin price could surge if cryptocurrencies bounce back. In most cases, a strong Bitcoin (CRYPTO:BTC) rebound will fuel a resurgence of other altcoins. Further, Pi coin price may surge if a financial company applies for a spot Pi ETF.