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Pi Coin shows renewed momentum as technical indicators suggest a potential breakout, with key resistance levels in focus.
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The recent “Buy Pi” fiat on-ramp announcement sparked a notable price increase, supported by trend strength and moving average signals.
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According to COINOTAG, the Average Directional Index (ADX) rising above 30 signals genuine trend strength, while a second EMA crossover could trigger further gains.
Pi Coin price gains momentum after fiat on-ramp launch; ADX and EMA signals point to potential 40% upside if key resistance levels break.
Renewed Trend Strength Signals Potential Upside for Pi Coin
The Average Directional Index (ADX) on Pi Coin’s 4-hour chart has climbed back above 30, indicating a strengthening trend rather than random price fluctuations. This technical metric, which ranges from 0 to 100, measures the intensity of the current price movement without indicating direction. The recent ADX peak, although slightly lower than the previous high, suggests that the current upward momentum is building but has yet to surpass prior strength.
Traders should watch for the ADX to maintain levels above the mid-20s or achieve a new high to confirm sustained trend strength. The 4-hour timeframe provides early signals ahead of daily chart confirmations, making it a critical window for short-term momentum analysis.
Pi Coin ADX Swings: TradingView
EMA Crossovers Indicate Possible Continuation of Rally
Pi Coin’s fast 20-period Exponential Moving Average (EMA) has crossed above the 50-period EMA, aligning with the recent price surge from $0.45 to $0.52. This crossover is a bullish signal that often precedes upward price momentum. However, a critical second crossover—where the 20-period EMA surpasses the 100-period EMA—has yet to occur. This next EMA crossover is a pivotal technical event that could unlock a stronger rally if confirmed.
Historical data from late June shows that failure to clear the 100-period EMA led to a price pullback, underscoring the importance of this resistance level. Additionally, the price briefly tested the 200-period EMA but faced resistance, indicating that a decisive close above this level would further validate bullish momentum.
Pi Coin price and EMA crossover (4-hour chart): TradingView
Key Resistance Levels Define Pi Coin’s Next Price Targets
Analyzing the daily chart with Fibonacci extensions reveals critical price zones that could dictate Pi Coin’s trajectory. The recent price action broke through multiple Fibonacci retracement bands—0.236 at $0.46, 0.382 at $0.49, and 0.5 at $0.51—before pausing near $0.46 to $0.49. A sustained close above this range would open the path to $0.54 (0.618 Fibonacci level) and potentially $0.66, representing approximately a 40% upside from current levels.
The formation of an inverted bullish hammer on the recent rebound candle indicates buyer interest near support levels, reinforcing the potential for upward movement. Conversely, failure to maintain above $0.46, a decline in ADX below the mid-20s, or the 20-period EMA failing to cross the 100-period EMA could trigger a retracement toward $0.42.
Pi Coin price analysis: TradingView
Market Implications and Investor Considerations
Pi Coin’s technical setup suggests cautious optimism for investors and traders. The combination of rising ADX values and EMA crossovers points to strengthening momentum, but confirmation through sustained price action above key resistance levels is essential. Investors should monitor these technical indicators closely to gauge the validity of the current rally and adjust their positions accordingly.
Moreover, the recent fiat on-ramp initiative enhances Pi Coin’s accessibility, potentially increasing market participation and liquidity. This fundamental development complements the technical outlook, providing a broader context for Pi Coin’s price dynamics.
Conclusion
Pi Coin is exhibiting signs of renewed strength, supported by key technical indicators such as the ADX and EMA crossovers. While the trend shows promise, confirmation through a sustained break above resistance levels near $0.49 to $0.51 is crucial to unlock a potential 40% rally toward $0.66. Investors should remain vigilant of invalidation signals, including a drop in ADX or failure of the EMA crossover, which could signal a retracement. Overall, Pi Coin’s recent developments and technical patterns warrant close attention as the market navigates this pivotal phase.
