What is Pi Network (Pi Coin)? Latest News, Technical Chart Analysis, and Effective Investment Strategies
Pi Network (Pi Coin) recently celebrated its 6th anniversary, introducing various updates and new services, attracting investor interest. Notably, the introduction of the ‘.pi domain’ and the adoption of Pi payments in approximately 600 stores in South Korea have increased real-world usage and investment interest.
Currently, Pi Coin is trading around $1.35. A technical analysis of recent price movements indicates a short-term downtrend. The EMA short-term moving average has formed a death cross with the long-term moving average, suggesting downward pressure. The MACD indicator remains in negative territory, signaling continued bearish momentum, though recent signs of weakening suggest a potential slowdown. Additionally, the RSI indicator has entered the oversold zone, indicating a possible technical rebound.
Investment Strategy Suggestions
- Conservative Approach: Wait for the price to confirm support around the key level of $1.30 before making a buy decision.
- Aggressive Approach: Utilize the RSI oversold signal to attempt short-term trades in the $1.30–$1.35 range.
- Long Strategy: If the price breaks the strong resistance at $1.40, enter a long position with a target of $1.50 and a stop-loss at $1.35.
- Short Position Strategy: If the price breaks below the key support at $1.30, consider entering a short position with a target of $1.20–$1.25.
5-Minute Chart Analysis and Scalping Strategy
For short-term trading (scalping), the 5-minute chart analysis suggests the following strategies:
- Price Movement: After a short-term rebound, the EMA (6,16) formed a bullish crossover, but selling pressure is increasing near the upper resistance.
- MACD: Recently turned positive, but as it approaches the signal line, a reversal point could form.
- RSI: Hovering around 50, looking for directional confirmation, without being in overbought or oversold conditions.
Scalping Strategies
- Long (Buy) Entry:
- If the price stabilizes above $1.36, consider a short-term long position.
- Target: $1.38–$1.40 / Stop-loss: $1.34
- Short (Sell) Entry:
- If the price fails to break above $1.36 and declines again, consider a short position.
- Target: $1.32–$1.30 / Stop-loss: $1.37
- Breakout Trading Strategy:
- If the price breaks above $1.40 with strong volume, enter a long position (Target: $1.45, Stop-loss: $1.38).
- If the price drops below $1.30, enter a short position (Target: $1.25, Stop-loss: $1.32).
Short-term trading requires strict risk management, and stop-loss settings should always be considered in volatile markets.