Key Insights
- Pi Coin price could be in the accumulation stage of the Wyckoff Theory.
- The highly bullish markup phase usually follows this stage.
- The biggest Pi Network whale has continued his accumulation.
Pi Coin price stayed in a tight range this week. It has continued its consolidation phase since October. Pi Network token was trading at $0.2367, giving it a market capitalization of over $1.9 billion.
Pi Coin Price Wyckoff Theory Analysis
The Wyckoff Theory closely resembles the Dow Theory. It explains the performance of cryptocurrencies and other assets. It identifies four stages that go through in their life cycle: accumulation, markup, distribution, and markdown.
A closer look at the Pi Coin price suggests that it has remained in the accumulation phase for at least two months. This phase is characterized by sideways movements and low volatility, with the Average True Range (ATR) being in a freefall.
Therefore, if this theory works out, the Pi Coin price will have a strong bullish breakout in the near term. The initial target price will be $0.2921, the highest level on October 29. Another target is the neckline of the double-bottom pattern at $0.2025.
The main challenge in using the Wyckoff Theory is that assets can stay in each phase for months. They can even remain there for years. A good example of this is Zcash (ZEC). It remained in the accumulation phase between June 2022 and September this year.
As the chart below shows, Pi Network remained inside the support and resistance levels at $15 and $76 in this period. It then moved into the markup phase in October and surged to $750 this month.
Pi Network Whale Buying Could Boost Its Pi Coin Price
One key catalyst for a Pi Coin price surge is its biggest investor’s belief that it is undervalued. The investor has been on an accumulation spree in recent weeks.
Data compiled by PiScan shows that this whale has been dollar-cost averaging (DCA) the token for months. It’s a move that has seen him accumulate 381.5 million tokens, currently valued at over $90 million.
His most recent purchase happened on Monday when he bought 2.7 million tokens. This helped him cross the 380 million mark. His purchases matter because he believes Pi coin price is undervalued. He expects its price to rebound over time.
A good example of the is the Winklevoss Twins. They started accumulating Bitcoin over a decade ago and are now some of its biggest holders in the industry.
The accumulation is notable because the whale might be a Pi Network insider. He could know plans that may boost its price over time.
Most importantly, a closer look at Pi addresses here shows that most of them have continued to hold their tokens. Of the existing 23 whales, just a handful have moved their tokens from exchanges during the ongoing crypto market crash.
Pi Team Has Made Some Notable Announcements Lately
Pi Coin price may move to the markup phase of the Wyckoff Theory. This is because of some of the key announcements that the team has made in the past few months.
One of the top news is on the pivot to the booming artificial intelligence industry, through the investment in OpenMind. It’s a company that is at the intersection of AI and robotics.
The two sides tested ways to let Pi’s node operators provide services to third parties. They focused especially on opportunities in the AI industry.
Pi Network has also leveraged the AI technology to boost the token migration from the enclosed mainnet to the mainnet. In a report a few months ago this new approach helped to migrate millions of users.
The other notable Pi Network news was the application for the MICA approval in the European Union. It’s a move that may pressure exchanges to list it.
Crispus is a distinguished Financial Analyst at, bringing over 12 years of expertise in cryptocurrency markets, specializing in Bitcoin and altcoins. Renowned for his sharp insights at the nexus of market trends and breaking news, Crispus delivers actionable analysis to empower investors. His work is prominently featured across leading platforms, including BanklessTimes, CoinJournal, HypeIndex, SeekingAlpha, Forbes, InvestingCube, Investing.com, and MoneyTransfers.com, cementing his reputation as a trusted voice in the financial world.
