The Pi Network price witnessed a sharp downturn over the weekend, shedding significant value after reaching a high of $91.78 in late November. This decline coincided with the extension of the KYC verification deadline by the developers and a broader market sell-off across cryptocurrencies. With Pi Coin now down 52% from its October highs, many investors are questioning whether it has the potential to bounce back to the elusive $100 mark.
Pi Coin Faces Technical Challenges
The Pi Coin’s recent drop has been underpinned by bearish technical indicators. A double-top pattern emerged around the $92 resistance level, a classic signal of potential reversals. This pattern’s neckline at $45 has since been breached, confirming a downward trajectory.
Adding to the bearish sentiment, the coin has fallen below Andrew’s pitchfork lower boundary and the crucial support level of $49.88, which marked its July 13 high. Furthermore, a bearish pennant pattern has begun to form, often signaling continued declines. If Pi Coin breaks below the 100-day moving average of $47.95, the next target could be $29.42, its September low.
However, a reversal could occur if the coin manages to reclaim the $62.83 resistance level. Breaking this point may pave the way for a potential rally toward $100, though such a move would require significant bullish momentum.
Impact of KYC Verification Extension
The developers’ decision to extend the KYC verification deadline from November 31 to December 31 has introduced uncertainty to Pi Coin’s trajectory. The extension suggests that the anticipated mainnet launch—a key milestone for Pi Network—will not occur this year. This delay has likely dampened investor enthusiasm, contributing to the recent sell-off.
Despite the setback, the network continues to expand its ecosystem. At the recent PiFest, over 27,000 vendors registered to accept Pi Coin as payment. This growing utility is crucial for the network’s long-term success and could support the token’s value once the mainnet launches.
Can Pi Coin Reach $100?
The path to $100 for Pi Coin hinges on several factors: successful KYC completion, the mainnet launch, and broader market conditions. For now, bearish technical signals dominate the narrative, with the coin at risk of further declines. However, if the developers deliver on their promises and market sentiment improves, Pi Coin could stage a recovery.
Investors should closely monitor key resistance and support levels, along with updates on the mainnet launch. While $100 may seem ambitious in the short term, Pi Network’s long-term potential remains tied to its ecosystem’s growth and utility.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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