Pi Coin's value plummets, but Elliot Wave analysis suggests a potential rebound.
Layman's Guide to the Pi Coin Price Fluctuations
The Pi Coin took a breather on Tuesday, with its price dipping to $1.1475 after surging earlier in the week. This sudden drop, following a 200% spike, brought the market cap of the 19th biggest coin in the industry down to $8 billion.
A Bull Run According to the Elliott Wave
The Elliott Wave, a popular market analysis approach, indicates that the Pi Coin might be in the early stages of a bull run. This theory suggests that assets undergo five stages during a bull market, and the first, third, and fifth phases are typically bullish. The second and fourth phases are usually corrective.
The eight-hour chart shows that the Pi Coin price rallied from its recent low of $0.5572 to an all-time high of $1.6638, before taking a dip on Tuesday. If the Elliott Wave pattern holds true, the Pi Coin could experience another surge to the 78.60% retracement point at $2.455 - a potential increase of 116% from its current value.
Moreover, the Pi Coin is starting to form a bullish pennant pattern, a common occurrence before a significant price increase.
Potential Price Movers for Pi Coin
Several factors could contribute to the Pi Coin price rebounding. The developers have hinted at a major announcement at the upcoming Consensus event in Toronto, which could be a game-changer for the coin.
Some potential news events that could boost the Pi Coin price include:
- Exchange Listing: A listing on a major exchange like Binance, Coinbase, or HTX could significantly boost Pi Coin's visibility and liquidity, leading to increased investor interest and trading volume.
- Ecosystem Announcements: Announcements about the expansion of the Pi Network ecosystem or the development of new decentralized applications (dApps) could enhance the network's utility and appeal, attracting more users and developers.
- Mainnet Launch or Upgrade: Successful mainnet launches or updates can boost investor sentiment and contribute to increased adoption.
- Regulatory Clarity: Favorable regulations could lead to increased institutional investment and mainstream acceptance, driving up demand.
- Community Engagement and Adoption: Strong community engagement and increased adoption among users could generate buzz and drive price growth.
If these events occur in conjunction with broader market trends favoring cryptocurrencies, the Pi Coin could experience a significant price rise.
- The Elliott Wave theory suggests that the Pi Coin is in the early stages of a bull run, with the potential for a 116% increase if the predicted pattern holds true.
- A listing on popular exchanges like Binance, Coinbase, or HTX could significantly boost Pi Coin's visibility and liquidity, leading to increased investor interest and trading volume.
- Announcements about the expansion of the Pi Network ecosystem or the development of new decentralized applications (dApps) could enhance the network's utility and appeal, attracting more users and developers.
- Successful mainnet launches or updates can boost investor sentiment and contribute to increased adoption, potentially driving up the Pi Coin's price.
- Favorable regulations could lead to increased institutional investment and mainstream acceptance, driving up demand for the Pi Coin.
- Strong community engagement and increased adoption among users could generate buzz and drive price growth for the Pi Coin, especially if accompanied by broader market trends favoring cryptocurrencies.
