Pi Network Eyes Rebound as Falling Wedge Pattern and Pi Day 2 Fuel Bullish Outlook

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The current price action shows Pi consolidating within a falling wedge—a pattern formed by converging downward trendlines.

The Pi Network (PI) token is showing early signs of a technical turnaround after suffering a steep 60 per cent decline since its May peak. Amid weakening liquidity and fading hype after its mainnet launch, investors are closely watching the emergence of a falling wedge formation—a rare and typically bullish signal.

On Saturday, 21 June, Pi Coin dropped to $0.5370, with its 24-hour trading volume shrinking to $74 million, a drastic fall from the $3 billion peak seen earlier this year. Market watchers now note the coin’s volatility has subsided significantly, which, paradoxically, may signal a phase of accumulation—a precursor to potential breakouts.

Falling Wedge Offers Technical Hope

The current price action shows Pi consolidating within a falling wedge a pattern formed by converging downward trendlines. This chart formation, often interpreted as a bullish reversal sign, has narrowed significantly, raising speculation that a breakout above the $1.00 mark (an 85 per cent increase from current levels) may be on the horizon.

Technical indicators back this thesis. The Moving Average Convergence Divergence (MACD) has continued to decline, reflecting low volatility. Likewise, the Donchian Channel’s narrowing bands suggest that price swings are compressing—another signal of possible accumulation.

Still, analysts warn that if Pi drops below $0.3940, its lowest point in June, the bullish setup would be invalidated.

Upcoming Events May Trigger Momentum

One of the anticipated catalysts for Pi’s next move is Pi Day 2, scheduled for 28 June. Also referred to as Tau Day, it complements the original Pi Day (14 March) and marks the close of the ongoing .pi domain auction—an event that has seen over 3 million bids and 123,000 active bidders, according to developers.

Such community-led initiatives, if sustained, could rekindle interest in the coin and strengthen its ecosystem credentials.

The launch of new applications such as FruityPi, a fruit-matching game built on Pi Network, also demonstrates an emerging layer of decentralised applications that could contribute to renewed user engagement.

Macroeconomic Winds May Assist

Beyond the ecosystem, macro factors may support crypto broadly. On Friday, U.S. Federal Reserve Governor Christopher Waller hinted at a possible interest rate cut as early as July, depending on inflation trends. Such a move would likely boost risk assets—including cryptocurrencies—by enhancing liquidity.

This sentiment is buoying not just Pi Coin but also broader market participants such as Ethereum and Bitcoin, which have struggled amid slowing institutional inflows.

Ethereum Consolidates but Holds Bullish Setup

Ethereum (ETH) itself dropped to $2,400 this week, amid a broader correction. Still, data from SoSoValue indicates spot ETH ETFs attracted $40 million in inflows, marking six consecutive weeks of positive flows despite a significant slowdown from $528 million the week before.

A technical bullish flag has formed on Ethereum’s chart, with price consolidating between $2,410 and $2,736. As long as ETH remains above the lower end of that range, analysts anticipate a breakout towards the psychological $3,000 level.

BlackRock’s ETHA ETF now holds $5.28 billion in assets, while Fidelity’s FETH fund has topped $1.1 billion—indicating robust institutional interest despite the week’s muted pace.

The coming weeks could prove pivotal for Pi Network. If the wedge pattern plays out alongside the Pi Day 2 hype and increased DApp activity, a rally back toward $1.00 is within reach. However, a failure to hold above the key support of $0.3940 would invalidate this optimistic scenario.