NOIDA (CoinChapter.com) — Pi Network fans continue to celebrate ridiculous achievements. Most recently, we expanded our user base to 50 million active participants.
At first glance, these numbers suggest that there is significant interest in cryptocurrency projects. But understanding the implications of this growth requires critical analysis beyond the headlines.
The only thing the Pi Network user base does well — Shilling
The large PI Coin community of 50 million people is impressive and indicates widespread interest in the Pi network. In the world of digital currencies, where adoption is a key success factor, these numbers could hint at potential mainstream acceptance.
However, the enthusiasm surrounding these numbers should be tempered by the understanding that Pi Coin currently lacks a functional mainnet and real utility. The delay in the Pi Network mainnet launch remains a difficult topic to defend even for core fans of the project.
Pi Coin operates in a speculative market and its value relies on potential rather than established utility. While the large PI Coin community has shown interest, it also raises questions about the long-term viability of the project in the absence of a live network or real-world application for the token.
The Pi Network’s substantial community can be a strength, providing a potential platform for future growth and development. The Pi Network user base represents perceived potential and could generate speculative interest, driving demand for IOUs in secondary markets.
But for Pi, moving beyond speculation to actual value creation is an important next step.
Transitioning from a concept with speculative value to a fully functioning platform presents significant challenges. This includes developing technology, compliance, and keeping users engaged through real progress and clear communication.
Despite all the hype, an objective observer might ask: What does this user participation mean without a mainnet or actual utility from the Pi Coin?
PI failed to bounce back in this bullish market!
The Pi Network token failed to rebound in an overly optimistic market despite its user base. Even memecoins like PEPE have recorded returns of over 300% in the last 30 days.
Meanwhile, the PI Coin price failed to maintain the $35 price label despite bulls aggressively pushing the token price above the 200-day EMA (green wave) support. The Bears’ booking revenue could foreshadow what the Pi Network user base is capable of once the team launches its public mainnet.
Bulls are likely to attempt to hold support near $31 as PI Coin price breaching the immediate support could lead to further selling, and the token could be pushed towards support near $27 before recovering.
On the other hand, breaking out of a high volume trading pattern can cause PI Coin prices to skyrocket.
If the rally begins, the price of Pi Network token may bounce back to resistance at the 0.618 Fib retracement level near $37.6. Flipping the immediate resistance, we see the Pi Network user base pushing the token to target resistance near $42.
The Relative Strength Index, which measures asset price movements to determine overbought or oversold conditions, remained neutral for PI with a score of 55.2 on the daily chart.