Recent market movements have placed Pi Network’s (PI) price under scrutiny, as technical indicators suggest declining momentum. The asset has dipped beneath crucial resistance levels over extended time frames, which has caused a resetting of investor outlooks. Following unsuccessful attempts to break out, PI has slipped back into its existing trading range, suggesting a potential shift towards lower price brackets, potentially nearing the $0.20 mark soon.
Is Pi Network’s Market Position in Jeopardy?
The current technical setup for Pi Network indicates significant struggles. The price has not only dipped below vital resistance marks but has also fallen from the “value area high.” This denotes a loss of buyer control and highlights enduring selling pressures. The market’s failure to stay outside the trading range, especially after displaying a bearish engulfing pattern, underscores unmet intentions from market participants. Further compounding the issue, PI is trading below the 0.618 Fibonacci resistance, which reflects its existing frailty.
Can Regulatory Efforts Rescue Pi Network?
In an approach to bolster its position, Pi Network has applied for MiCA compliance to secure legal credibility in Europe. This move aims to improve its prospects for listings on regulated European exchanges.
Additionally, the network is enhancing its ecosystem, notably by solidifying ties with CiDi Games in the Web3 gaming domain, seeking to increase practical use cases. However, these positive strategic maneuvers seem insufficient against the current technical setbacks, which keep the price under significant stress.
Should Pi Network fail to hold its current point of control by daily close, it risks slipping further to its “value area low” around $0.20—a pivotal area within its trading spectrum. Moreover, the amassed liquidity below this point suggests the potential for sharp price movements.
To alter this course, a robust breakout paired with substantial buying volume is imperative. As it stands, such a catalyst has yet to emerge.
Despite these challenges, Pi Network remains confident in its direction.
“Our commitment to regulation and innovation are key to unlocking long-term potential,” expressed a spokesperson from Pi Network.