Pi Network has remained within a narrow range this week, even as Bitcoin and other altcoins surge. Pi Coin (PI) was trading at $0.4900 on Friday, July 11, slightly above the week's low of $0.4530. However, there are several reasons why this coin is on the verge of a bullish breakout.
Firstly, data indicates that the monthly token unlock will slow down in the coming months, reducing the number of coins entering the market. Pi will unlock over 175 million coins this month, 137 million coins in August, 116 million coins in September, and 93 million coins in October. The token unlock rate will then recover in November and December before declining for the next eight consecutive months.
Secondly, the price of Pi Coin is likely to benefit from the ongoing cryptocurrency bull run. Bitcoin (BTC) has surged to record highs as we predicted here and here. This bull run may continue as it targets a cup and handle near $150,000. The surge in Bitcoin is likely to lead to further gains in most altcoins.
On Tuesday, the developers of Pi Network recently announced Pi AI Studio to help developers build applications using artificial intelligence. Data shows that developers have introduced thousands of applications. Although not all are successful, a few successful applications could help boost its ecosystem.
Applications developed on the network will be supported by existing products of Pi Network such as Pi Ad Network, .pi Domains, and Pi Wallet. Applications with significant potential may also receive a $100 million grant from Pi Network Ventures.
Most importantly, there is still a small chance that Pi Network will be listed on major exchanges like Upbit, Binance, and Coinbase. Such a listing could likely trigger a significant short-selling event.
Pi Network Price Analysis
The daily chart shows that the price of Pi Coin has formed reversal patterns that could stimulate a recovery. It has formed a double bottom pattern at $0.40 and the neckline at $1.6625.
Pi Network has also formed a descending wedge pattern, a popular bullish reversal signal. Additionally, its Bollinger Bands and Average True Range (ATR) indicate low volatility, often leading to short selling. If this occurs, the next point to watch will be $1, followed by the neckline at $1.6625.