Pi Coin is showing signs of life despite a sharp sell-off that’s dragged the token down around 5% today and more than 75% from its May high of $1.65.
The drop has caught the attention of traders after volume unexpectedly climbed 11% to $90 million — a spike that came on the heels of fresh ecosystem updates revealed during the Pi Day 2 event.
While momentum has clearly weakened over recent weeks, some technical analysts argue that Pi may be entering a reversal phase. Chart watchers have identified a possible double-bottom formation near the $0.40 level — a structure that, if confirmed, could trigger a move toward the $1 mark. A breakout above that level could open the door for a run back to May highs and even stretch toward $2.90.
Adding weight to the bullish case is a falling wedge formation, typically a precursor to upside breakouts. With price action narrowing, and volatility shrinking — as seen through indicators like Bollinger Bands and ATR — the setup is in place for a potential rally.
But price action isn’t the only factor stirring hope. The Pi Network team’s latest updates have caught attention, particularly the introduction of Pi AI Studio — a framework for building AI apps on the network. Combined with tools like the Pi Wallet, the .pi domain system, a 13-million-strong KYC-verified user base, and Pi’s advertising network, the ecosystem is gradually expanding.
Further momentum could come from Pi’s new Directory Staking model and a $100 million fund aimed at accelerating app development. If macro tailwinds arrive — including a renewed Bitcoin surge — Pi Coin may ride the wave of broader altcoin enthusiasm.
Still, bulls remain cautious. A breakdown below $0.4047 would invalidate the bullish setups and raise the risk of further downside.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/market/pi-coin-slides-but-signals-hint-at-potential-rebound/