Pi Network’s Rally Stalls Below $0.80 as Traders Await Ecosystem Bombshell

Pi Network’s upward momentum hits a wall—failing to breach the $0.80 resistance level as the market holds its breath for a promised ecosystem update. Speculation runs rampant, with traders torn between hype and skepticism.

Will the announcement deliver the ’mainstream adoption’ narrative or join the graveyard of overpromised crypto projects? Meanwhile, bagholders cling to hopium—because in crypto, every delay is just ’building in stealth mode.’

Bonus jab: Another day, another altcoin teasing ’game-changing news’ while liquidity evaporates faster than a DeFi rug pull.

Pi Network uptrend takes a breather 

The Pi Network Core team teased a major ecosystem announcement on Thursday, sparking speculation of, among other things, a listing on Binance, the largest exchange by trading volume. 

A PI ecosystem announcement will be released on May 14. Tune in to find out what’s coming next! pic.twitter.com/5jn7m5mlmD

The announcement comes after the platform carried a major update to make the mainnet ecosystem more accessible to users while maintaining strict security standards. According to a blog post published on May 2, verified pioneers, including those with full or tentative know your customer (KYC) approval, can activate Mainnet wallets via the Pi Wallet app before the migration completes.

Newly released features enable more verified people to have Mainnet wallets to directly participate in Mainnet utilities! Learn more https://t.co/oWEMRkKITt

Mainnet wallet activation features are now available for identity-verified individuals—including millions of fully and…

The new features allow non-users to join the ecosystem by directly creating Mainnet wallets using third-party services after passing set KYC requirements. Pi Network aims to boost inclusivity with this update while accelerating global adoption before the full Open Network launch.

Pi Network uptrend set to continue 

Pi Network’s rally has taken a temporary breather after encountering selling pressure at $0.77, while moving to close the gap at $0.80. The token currently hovers at $0.75 at the time of writing, up more than 16% on the day.

Since April 30, its uptrend has been supported by a buy signal from the SuperTrend indicator. Such a signal is confirmed when the trend-following indicator slides below the price, changing its colour to green from red.

This encouraged traders to position themselves ahead of a potential breakout, which gained momentum after price broke above the descending trendline resistance, as shown on the 4-hour chart below. 

Pi Network’s uptrend progressed above the 50-, 100-, and 200-period Exponential Moving Averages (EMAs), signaling robust bullish momentum. However, extremely overbought conditions revealed by the Relative Strength Index (RSI) indicator at 85.78 challenge the uptrend, hinting at increasing chances of profit-taking.

A reversal of the RSI indicator into the neutral region below 70 WOULD provide a clear sell signal amid declining trader interest and confidence. Should a decline occurr key support levels likely to absorb the selling pressure include the 200 EMA at $0.68 and the confluence area at $0.62, which aligns with the 50 EMA and the 100 EMA.

PI/USDT 4-hour chart

For now, the Moving Average Convergence Divergence (MACD) indicator is above the center line, signaling strong bullish momentum. Additionally, the green histograms are growing, bolstering the short-term bullish outlook. 

Therefore, dismissing a bigger-than-expected rally past $0.80 might be premature in the coming days, especially with the Pi CORE team hinting at a major ecosystem announcement for May 14.

Cryptocurrency prices FAQs

How do new token launches or listings affect cryptocurrency prices?

Token launches influence demand and adoption among market participants. Listings on crypto exchanges deepen the liquidity for an asset and add new participants to an asset’s network. This is typically bullish for a digital asset.

How do hacks affect cryptocurrency prices?

A hack is an event in which an attacker captures a large volume of the asset from a DeFi bridge or hot wallet of an exchange or any other crypto platform via exploits, bugs or other methods. The exploiter then transfers these tokens out of the exchange platforms to ultimately sell or swap the assets for other cryptocurrencies or stablecoins. Such events often involve an en masse panic triggering a sell-off in the affected assets.

How do macroeconomic releases and events affect cryptocurrency prices?

Macroeconomic events like the US Federal Reserve’s decision on interest rates influence crypto assets mainly through the direct impact they have on the US Dollar. An increase in interest rate typically negatively influences Bitcoin and altcoin prices, and vice versa. If the US Dollar index declines, risk assets and associated leverage for trading gets cheaper, in turn driving crypto prices higher.

How do major crypto upgrades like halvings, hard forks affect cryptocurrency prices?

Halvings are typically considered bullish events as they slash the block reward in half for miners, constricting the supply of the asset. At consistent demand if the supply reduces, the asset’s price climbs.