Pi Network's price has seen a significant decline this month, continuing its downward trend since peaking at $1.670 on May 12**. Currently trading near the psychological support level of **$0.500, the token has plummeted by 70%. Despite prevailing bearish sentiment, technical patterns, reduced volatility, and upcoming events like Pi Day 2 could catalyze a strong rebound.
1. Falling Wedge Pattern Signals Potential Rebound
The 8-hour chart reveals a falling wedge formation—a bullish reversal pattern characterized by converging descending trendlines. Key observations:
- Upper Trendline: Connects higher highs since March 16.
- Lower Trendline: Links lower lows since May 17.
- Breakout Target: A breakout above $0.5328** could propel prices to **$0.80 (a 56% increase), calculated by adding the wedge height ($0.269) to the breakout point.
👉 Learn more about bullish chart patterns
Invalidation Scenario: A drop below the wedge’s lower boundary would negate the bullish outlook.
2. Declining Volatility May Trigger Short Squeeze
The 12-hour timeframe shows shrinking Bollinger Bands, indicating reduced volatility—a precursor to potential breakouts:
- Bollinger Bands Squeeze: Narrowing bands suggest impending price movement.
- Average True Range (ATR): Falling ATR confirms declining volatility.
- RSI Oversold: The Relative Strength Index (RSI) near oversold levels supports a bullish reversal.
Historically, such conditions precede sharp price movements, raising the likelihood of a short squeeze.
3. Pi Day 2 Event: A Catalyst for Volatility
The Pi Day 2 celebration on June 28 (Tau Day) could drive price action:
- Historical Context: Past Pi Day events have included major announcements from the Pi Core Team.
- Domain Auctions: Coincides with the conclusion of .pi domain auctions, potentially spurring ecosystem updates.
- Market Sentiment: Positive news during the event may boost investor confidence and demand.
Key Takeaways
- Technical Outlook: The falling wedge pattern suggests a 56% upside to $0.80 if resistance breaks.
- Market Dynamics: Low volatility and oversold RSI hint at an impending rebound.
- Event-Driven Momentum: Pi Day 2 could amplify bullish momentum with project updates.
FAQs
What factors could drive Pi Network’s price upward?
The convergence of a falling wedge breakout, Bollinger Bands squeeze, and Pi Day 2 event are primary catalysts.
Why has Pi Coin’s price dropped recently?
Declining demand, token unlocks, and broader crypto market corrections have contributed to the slump.
What’s the price prediction for Pi Network?
A breakout could see prices rebound to $0.80**, with potential to retest **$1.00 if bullish momentum sustains.
👉 Explore crypto market trends
Disclaimer: This analysis reflects market conditions at the time of writing. Cryptocurrency investments carry risks—always conduct independent research.
### **SEO Keywords**: