Pi Network (PI) has joined the broader crypto market rally, showing remarkable strength over the past week.
The token climbed to $0.2933 on Monday, marking a 96% recovery from its October low of $0.1517. The rebound extends a six-day winning streak and positions Pi as one of the top gainers in the low-cap segment, even as analysts warn of potential speculative manipulation.
Pi Network Breaks Out from Falling Wedge Formation
On the daily chart, Pi Network’s price has rebounded sharply from its all-time low earlier this month. The token has now formed two important bullish structures that could drive further upside in the near term.
The first is a falling wedge pattern, typically considered a bullish reversal signal. The wedge was defined by two descending trendlines that gradually converged, with the recent breakout confirming renewed bullish momentum. The breakout projection, based on the wedge’s widest range, suggests a potential target near $0.327, while a sustained rally could open the door toward $0.50 in the medium term.
Additionally, the price appears to be shaping an inverse head-and-shoulders pattern, with the head positioned at the October low of $0.1517 and shoulders forming around the $0.20 area. This structure, combined with improving RSI levels and a MACD crossover, reinforces the short-term bullish bias.
Short-Term Momentum Strengthens
The 1-hour chart adds further confirmation to the breakout. After a period of accumulation, Pi’s price surged above the $0.25 level, supported by higher trading volume and an RSI reading above 60. The MACD histogram has also turned positive, showing growing momentum as buyers regain control.
A decisive close above $0.27 would validate the current uptrend, while any pullback below $0.23 could serve as a healthy retest of the breakout zone before continuation.
Market Manipulation Concerns Linger
Despite the strong price recovery, some analysts remain skeptical, pointing to Pi Network’s history of questionable promotional activity and lack of transparency. The current rally comes without a clear catalyst, raising fears of coordinated trading or speculative manipulation.
In May, Bybit’s CEO labeled the project a “scam,” vowing never to list it, following claims that insiders were artificially influencing market activity. Around the same time, the Pi Network team teased a $100 million ecosystem fund that briefly boosted prices by over 200%, only for the token to later crash to record lows.
Key Challenges Ahead
Beyond price speculation, the Pi Network ecosystem faces several unresolved issues. The project continues to lack major exchange listings, a public roadmap, and real-world utility for its token. Additionally, the ongoing token unlock process and lack of external audits have raised further doubts about long-term sustainability.
Still, as long as the price holds above the $0.20–$0.23 support zone, the bullish momentum could remain intact, with technical indicators hinting at continued recovery attempts toward the $0.32–$0.50 range.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-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 approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/market/pi-network-breaks-out-from-falling-wedge-eyes-0-32-target/