NOIDA (CoinChapter.com)— The Pi Network coin price has formed technical patterns of both bearish and bullish nature, mirroring the market’s indecisiveness. However, the , with the delays in the network’s open mainnet launch.
The Pi Network team seems more interested in continuing its shilling campaign, dreaming of the PI coin price reaching ridiculous highs like $314,159. Apart from the dreams of new price highs, speculation started spreading on social media that Elon Musk might soon accept PI coin as a payment medium,
PI Coin IOU Price Paints Two Opposing Triangles
Zooming out to the monthly timeframe shows the Pi Network token forming a bullish technical setup called the ‘ascending triangle.’
Historically, a horizontal trendline connecting swing highs and an ascending trendline connecting swing lows form an ascending triangle pattern. Volume helps determine whether a breakout is strong. Under ideal conditions, buyers would enter the market as the trendlines close the gap.
As a result, the coin’s price would push above the horizontal resistance with heavy volumes.
Per the rules of technical analysis, the price target for a breakout is equal to the triangle’s height at its thickest point. If the triangle pattern pans out, PI coin price has a theoretical price target near $158, a spike of 295% from current levels.
It is unlikely that the PI coin price token price would rally immediately to the pattern’s target after a successful breakout. Yet, the pattern could attract buyers to the market, helping the Pi Network token’s bullish run.
Zooming in Further
On the other hand, zooming in on the chart reveals another picture. The PI coin price is moving inside a bearish setup called the ‘descending triangle.’
Market analysts predominantly consider the descending triangle a bearish continuation signal. Moreover, the pattern features a downward-sloping upper trendline and declining resistance levels that progressively lower the price action’s peaks.
Additionally, a horizontal lower trendline acts as support, maintaining a consistent low point that the price struggles to breach. The formation indicates that selling pressure is gradually increasing. Therefore, bearish pressure could overcome buying interest, as each rally is weaker than the last.
The height of the triangle’s thickest section determines the price target in a descending triangle setup. Hence, if the bearish pattern pans out, PI coin price could drop nearly 37.5% to reach the pattern’s projected price target near $25.
Pi Network Price Spikes, But EMA Resistance Quells Uptrend
Meanwhile, PI coin price rallied 8% to reach a daily high near $40.5 before paring gains near the 20-day EMA (red wave) and 50-day EMA (purple wave) resistance confluence. Breaking past the trendlines would help the token rally to the resistance near $42.
Moreover, breaking and consolidating above the immediate resistance might help the token target the resistance near $46 before retreating.
On the other hand, if PI coin IOUs started falling, the token’s price could reach the support level near $36.6. Failure of the immediate support level would likely force PI coin price to test the support near $33.
The RSI for PI remained neutral, with a score of 45.56 on the daily charts.
