Why Is PI Coin Price Up Today?
NOIDA (CoinChapter.com)—Pi Network, the mobile-based crypto-mining platform, has adjusted its base mining rate for May. Moreover, the planned date for the open mainnet launch in June is approaching, which could be another reason why the PI coin price is up today.
Pi Network’s open mainnet launch has been the white whale of every PI coin user. The open mainnet launch would give legitimacy to the PI tokens currently in the miners’ wallets. For now, traders remain confined to trading PI coin IOUs on exchanges.
Pi Network Adjusts Base Mining Rate
The price of Pi Coin witnessed a notable surge, primarily driven by Pi Network’s recent adjustment to its base mining rate.
Pi Network adjusts the base mining rate, changing the speed at which users mine Pi Coins. The team may increase the rate to boost user participation or decrease it to control the coin’s supply and enhance its scarcity and value.
Essentially, the reduction helps bolster the coin’s value by limiting the influx of new tokens, thus curbing potential inflationary pressures.
The adjustment aims to enhance Pi Coins’ perceived value by ensuring a slower, more controlled expansion of the token supply. Think of it as Bitcoin halving but more frequently.
As a result, Pi Coins are more scarce, making them more valuable to holders and potential investors. This move has resonated positively within the community, sparking renewed interest and investment in Pi Network.
Moreover, tighter control over token issuance could be a step towards stabilizing the network’s economic model, reassuring investors about the cryptocurrency’s long-term viability.
Moreover, the Pi Network developers have a very dedicated marketing team, capable of shilling a mouse trap to a mouse. While the core team continues to delay the mainnet launch, the marketing team (and the hopium-addicted fans) are busy speculating if PI coins would trade for $314,000 after the mainnet launch.
Hype and FOMO are often a bullish catalyst in the crypto sector and could be the reason why the PI coin price is up today.
Bullish Technical Setup Could Be Why Pi Coin Price Is Up Today
Meanwhile, PI coin price is moving inside a bullish technical pattern called the ‘Ascending Triangle.‘
Historically, a horizontal trendline connecting swing highs and an ascending trendline connecting swing lows form an ascending triangle pattern. Volume helps determine whether a breakout is strong. Under ideal conditions, buyers would enter the market as the trendlines close the gap.
As a result, the token’s price would push above the horizontal resistance with heavy volumes.
Per the rules of technical analysis, the price target for a breakout is equal to the triangle’s height at its thickest point. If the triangle pattern pans out, PI coin price has a theoretical price target near $100.6, a spike of 145% from current levels.
It is unlikely that the PI coin price token price would rally immediately to the pattern’s target after a successful breakout. Yet, the pattern could attract buyers to the market, helping the Pi Network token’s bullish run.
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