PI Network News: Consolidation Under $0.70 – Will Breakout Lead to Major Price Surge?

Key Insights:

• PI consolidates between $0.50–$0.70, signaling a potential breakout.
• 6.1 million PI tokens unlocking today could trigger downward pressure.
• Breakout above $0.70 could lead to significant upside price movement.

The last couple of weeks had been very tough for the PI Network. The whole month of July has been spent consolidating in the $0.50 to $0.70 range.

This can often be seen as an accumulation zone, and just like those previous phases, this phase presents an opportunity for a serious breakout.

PI is likely on the brink of an important turning point, as the technical indicators indicate that a major price surge might happen soon.

Consolidation in the $0.50–$0.70 Range

Charts show a prolonged consolidation between the $0.50 and $0.70 levels. Traditionally, this range has been an excellent accumulation zone for both retail and institutional traders to accumulate positions.

This reflect indecision of the market as neither buyer or seller can dictate the price and the range is narrow.

Consolidation phases usually act as a precursor to a break either to the upside or downside.

Since PI’s consolidation is likely to take place, we should not be so surprised by a price movement of an extent once the market comes out of the period of equilibrium.

The chart shows that PI has become more volatile during this consolidation period, a possible sign of a breakout being in store.

The price chart shows that the $0. 70 level is the current resistance zone. If PI can help with this, it might quickly extend these price targets and it is not uncommon for it to approach the $1.00 mark.

Looking at the chart pattern, a breakout above $0.70 could set the price in motion toward an explosive price acceleration, also there is not that much hype surrounding a ‘big pump’ ever being forthcoming.

Unlock Event and Increased Selling Pressure

Additional charts show 6.1 million tokens are now set to be unlocked, there is a looming concern. The large unlock event is likely to keep the price of PI down for the foreseeable future.

Often token unlocks cause the sell off as early investors or insiders may be selling their position to lock in large profits.

The supply is getting increased and there is no immediate support available below the current levels of PI price, indicating PI can tank further if selling picks.

Lacking support to the current or lower levels, the probability of price testing lower ones becomes greater as the unlock sets into motion a rush of selling activity.

PI has a weaker support structure, as there is no strong structure to fall back on in the intermediate term.

If it fails there, it would be a critical test for the token, as this level could signal that the bearish momentum could hold even more.

Price Action and Key Technical Indicators

More charts show that PI has been oscillating for some time in the lower range of the range and then occasionally spikes in price only to decline rapidly.

Since these price swings are fairly common in volatile markets but don’t suggest sustained momentum in either direction, this looks like a mediocre play to me.

As PI hits and approaches technical key levels, traders are keeping an eye on it. The downward pressure increases if the price stays below $0.70, especially with the lock event looming.

In case the price breaks above $0.70 with valid volume, it gives the potential signal for the new uptrend. If this were to happen, attack targets would be at $0.75, $0.80 and the most critical $1.00.

The volume profile as seen from the volume delta, also shows that traders have a lot of interest at the current price levels, but it is not clear whether the demand at current prices can back up a bullish breakout.

Latest price action, coupled with a lack of support, suggests that the path of least resistance is running downward as of now, unless it can be absorbed by the market, the unlock event.

Despite the bearish tone the upcoming token unlock will bring, there’s still a very strong bullish undercurrent flowing in and around PI.

Those invested in the market and expecting a breakout have already been priced in, but many players are expecting a rally.

This indicates that the bulls are still in control of the situation. Also, that PI has been residing in the accumulation zone for this long without a major breakdown reaffirms that.