Pi Network Under Pressure : An Inevitable Collapse ?
Most cryptocurrencies are experiencing a positive session today. However, Pi Network, the flagship project of the cryptosphere, is struggling in rough waters. The native token of the Pi network has already lost 3% of its value in the last 24 hours, drifting further away from its all-time high.
This decline comes just days after the project strengthened its identification protocols (KYC). Specifically, it now requires an email address to enable two-factor authentication (2FA) on its mobile application. This decision has been criticized by the crypto community, seeing it as a new breach of the cherished anonymity in the industry.
Moreover, Pi has been scrutinized for unilaterally imposing a strict KYC process on its users to migrate their PI tokens to the public network. Additionally, Pi is now facing allegations from influential figures in the sector who consider it a scam. An accumulation of negative factors that has heavily weighed on its price.
Investors Fleeing Pi : How Far Can the Fall Go ?
The technical analysis of the hourly PI chart on the OKX platform shows a relentless drop. The token is now only 14.9% away from its all-time low of $0.6152 recorded last February 20th.
Source: Crypto News
A closer look at the price evolution reveals that PI briefly found support around $0.6800. However, the momentum indicators are already weakening, indicating that this rebound was short-lived.
While the overall market is bullish today, PI sellers took advantage of this calm period to take their profits. Nevertheless, the token still needs to rise by 6.3% to hope to reverse its downtrend.
Source: Crypto News
A Fibonacci levels study shows that bears were trapped by a false rebound, as the token surpassed the 61.8% threshold before collapsing. This scenario significantly increases the chances of PI reaching a new all-time low. The next support zone to watch will be the $0.6800 level. If this line does not hold, nothing will prevent the token from plummeting to its absolute lowest.
The Right Time to Buy Pi on Weex ?
While the Pi Network‘s fall worries many investors, others see it as a golden opportunity. Buying an asset when it reaches an all-time low can be a profitable strategy, provided you analyze the risks carefully. With a possible stabilization and a potential rebound, some traders are taking advantage of the dip to accumulate tokens at discounted prices. Weex offers a reliable and optimized platform for those looking to seize this opportunity and invest in PI.
