PI Network price remained under pressure after developers extended the first grace period for KYC verification until December 31. The Pi Coin token fell to $48.63, down almost 50% from its November high.
Pi Network KYC Grace Period Extends
The main catalyst for the Pi Network price was the developers’ decision to expand the KYC grace period until December 31. They hope this expansion will allow more pioneers to verify themselves.
KYC verification is a process by which these pioneers are verified so that the bots are excluded from mainnet migration. The developers then insisted that the mainnet checklist deadline be December 31.
These steps are all necessary as the Pi Network prepares to move from a closed to open mainnet. The main difference is that in a closed mainnet, all network activity takes place behind the scenes. Additionally, pioneers cannot sell their coins and exchange them for fiat currencies.
KYC verification is one of the three important steps that must be completed for the network to migrate to the mainnet. To a large extent, the other two conditions are already met.
One of the conditions is that the Pi network ecosystem is dynamic, which will give it more utility. The most recent PiFest competition had over 27,000 sellers registered across the network.
This goal is to ensure that the Pi Coin has a utility. Additionally, there are over 50 mainnet-ready applications on the network.
The other goal is that there are no major external problems for the main network. In this case, there are signs that U.S. regulation is poised to improve under Donald Trump. Additionally, cryptocurrency prices are rising, which means developers are confident the coin will perform well.
Therefore, with the KYC verification process ending on December 31, there is no chance that the Pi token will start trading this year.
Pi Coin Price Analysis
The daily chart shows that the Pi coin, which is not affiliated with the actual project, suffered a sharp setback over the past few weeks. It fell from $91.51, its high on November 23, to $48.
The coin has formed what looks like a double top pattern between $91 and $100. It also fell below the 50-day exponential moving average (EMA), but remains above the ascending trendline that connects the lowest change since September this year.
Pi coin has also formed a bearish pennant pattern, which is a popular risky pattern. Therefore, there are increasing chances that the coin will fall to around $37, the October 17 swing low. This view will be confirmed if the coin falls below the green ascending trendline.
The alternative scenario is where the Pi coin price rebounds and reaches $65, the highest move on November 8.