NOIDA (CoinChapter.com) – As rumors swirled around the Pi Day mainnet launch, the Pi Network price surged 290% in March, breaking out of its consolidation phase. The token reached its daily high near $122 on March 13. However, even without a mainnet launch, tokens will still be traded as IOUs on exchanges.
Pi Network price soars due to rumors of mainnet launch?
Pi Day, or March 14th (3/14), is fast approaching, leading to speculation about the launch of the Pi Network open mainnet. Mainnet has been a white whale for Pi Network users, and multiple delays have caused many to lose confidence in the project.
However, a miscommunication in the official Pi Network news handle led to speculation about an open mainnet launch on March 14th. The news handle is a joke. shared Pi Network plans to launch its open mainnet in March, rather than the previously announced June 2024 date.
Hoka News, another media outlet, captured this news and reported it as a true story, not a joke. As a result, traders flocked to the market, supporting the token’s rally and helping it break out of a months-long consolidation phase.
Interestingly, the Pi News handle claimed that the post was fake, claiming:Just a glimpse into the future.”
Meanwhile, the Pi Network team said developers wouldPlatform-level utilitiesFor the Pi token, which could benefit PI Coin once the mainnet launches.
However, it will be interesting to see how the token reacts when Pi Network fails to launch an open mainnet on Pi Day.
PI Coin Price Faces Overbought RSI Risk
Meanwhile, the recent rally has pushed PI Coin’s relative strength index into overbought territory, hitting 94.75 on the daily chart. RSI is a momentum indicator that measures asset price movements to identify overbought or oversold conditions.
Overbought RSI levels and rising average trend lines indicate a bullish trend in the market. However, traders consider overbought RSI levels to be a bearish signal because they usually precede a bearish correction or consolidation phase in the underlying token.
Moreover, if the news of the mainnet launch turns out to be fake, traders are likely to sell their holdings to make a profit. The selloff could push the PI Coin price down to the 0.382 Fibonacci support level near $93.
Additionally, a breach of immediate support could result in support around $69 before the Pi Network token price recovers.
However, in the unlikely scenario where the PI Coin price continues to rise, it is likely that the token will rise to resistance near $133. A break above the immediate resistance could help Pi Network price rebound towards resistance near $161.