Pi Network’s Mainnet Launch Sparks Comparisons to Ethereum’s Early Price Patterns

– Advertisement –

• Pi Network’s mainnet launched February 2024; price peaked at $3, corrected to $1, echoing Ethereum’s early volatility.
• Falling wedge pattern in PI mirrors Ethereum’s 2015 setup, which surged 1,400% after breaking 15-day moving average.

Pi Network (PI), a cryptocurrency project developed over six years, activated its mainnet on February 20, 2024. The launch drew attention due to its mobile-accessible mining model and initial price volatility. After debuting near $3, PI corrected to a range around $1, mirroring patterns seen in Ethereum’s early trading phase.

Technical charts show PI consolidating within a falling wedge formation, a structure often preceding upward reversals. Ethereum exhibited similar behavior after its 2015 launch, when it traded near $1 before breaking out of a wedge and surging over 1,400% in months. ETHNews analysts note PI’s current position aligns closely with Ethereum’s pre-breakout setup, including proximity to its 15-day moving average (15D MA).

Ethereum’s rise was fueled by smart contract adoption and developer activity. Pi Network, while boasting a large user base, has yet to establish comparable utility. Its roadmap emphasizes expanding use cases, but tangible applications remain in development. ETHNews caution that chart similarities alone do not guarantee identical outcomes, as fundamentals differ.

PI’s price trajectory will likely depend on external factors, including broader crypto market trends, exchange listings, and the rollout of network features. Technical analysts highlight the $1 level as a testing ground, with a sustained move above the 15D MA potentially signaling momentum. Ethereum’s precedent suggests such a breakout could precede rapid gains, though replicating its scale remains uncertain.

The project’s mobile mining approach, which allows users to earn tokens via smartphone apps, has attracted millions globally. However, questions persist about how PI will transition from a token-earning platform to a functional blockchain. Developers have not disclosed timelines for key upgrades, leaving adoption timelines unclear.

ETHNews also noted differences in initial liquidity. Ethereum’s early trading involved limited exchanges, whereas PI listed on multiple platforms post-launch. This wider access may dampen volatility compared to Ethereum’s sharper historic swings.

While PI’s community speculates about a breakout, the network faces challenges common to new blockchains, including providing security and scalability. Ethereum’s success stemmed from solving unique problems; PI must define its niche to sustain long-term demand.

For now, PI’s price action offers a narrative of cautious optimism. Traders await signals of whether technical patterns will override fundamental gaps. The coming months will determine if PI follows Ethereum’s historic arc or charts a distinct path.