Pi Network Price Forecast: PI holds at key support amid mainnet upgrade announcement

Pi Network (PI) price continues to maintain a consolidative tone on Thursday, halting the prevailing declining trend near a descending support trendline around $0.0730. The announcement of the upcoming mainnet upgrade to the Stellar Protocol version 25 helps limit the selling pressure. The technical outlook for PI suggests a potential rebound, as bearish momentum remains oversold. 

Mainnet upgrade eases bearish pressure

Pi Network announced the upcoming mainnet upgrade in a social media post on Thursday, advancing to the Stellar Protocol version 25 on July 22. Pi Network is built on the Stellar blockchain, and these upgrades drive the mainnet closer to version 26, which could unlock smart contract functionality for mainnet users. 

Technical outlook: Will PI hold above its last line of defense?

Pi Network remains stable below $0.0750 at press time on Thursday, extending a consolidative trend for the third consecutive day. The sideways shift marks early signs of PI token shifting away from the prevailing bearish phase, accounting for over a 40% decline in the last three weeks.

Momentum on the daily chart reaffirms that the PI token remains pressured as the Relative Strength Index (RSI) at 14 hovers in deeply oversold territory. At the same time, the Moving Average Convergence Divergence (MACD) stays negative, hinting that downside momentum is still dominant despite overstretched conditions.

From a technical perspective, PI holds at the lower support trendline of a falling channel pattern on the daily chart, which typically results in a rebound. Looking up, the 127.2% Fibonacci extension level, measured over the downswing from $0.1998 to $0.1183, at $0.09613, serves as the initial overhead barrier for a potential rebound in PI.

On the downside, the 161.8% Fibonacci extension level at $0.0679 acts as the last line of defense, where a decisive close could confirm a bearish breakout of the falling channel pattern.

(The technical analysis of this story was written with the help of an AI tool. Know more.)