The PI Network price remained under pressure after the developers extended the first grace period for KYC verification until December 31. The Pi coin token retreated to $48.63, down by almost 50% from its highest point in November.
Pi Network KYC grace period extends
The main catalyst for the Pi Network price was a decision by the developers to extend the KYC grace period until December 31st. They hope that this extension will make it possible for more pioneers to verify themselves.
The KYC verification is a process where these pioneers get verified so that bots are excluded from mainnet migration. The developers then insisted that the mainnet checklist deadline will happen on December 31st.
These stages are all necessary as the Pi Network prepares to move from an enclosed mainnet to the Open Network. The main difference is that, in an enclosed mainnet, all activity in the network is done behind the scenes. Also, pioneers cannot sell their coins and exchange them for fiat currencies.
The KYC verification is one of the three important steps that need to happen for the network to move to the mainnet. To a large extent, the other two conditions have already happened.
One of the conditions is that the Pi Network ecosystem should be a vibrant one, a move that will give it more utility. The most recent PiFest competition had over 27,000 sellers registered in the network.
This goal intends to ensure that the Pi Coin has utility. Also, there are over 50 mainnet-ready apps in the network.
The other goal is that there should be no major external issues for the mainnet to happen. In this case, there are signs that the US regulations are set to improve under Donald Trump. Also, cryptocurrency prices are rising, meaning that the developers are confident that the coin will do well.
Therefore, with the KYC verification process ending on December 31st, 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 real project, has suffered a harsh reversal in the past few weeks. It has slipped from $91.51, its highest point on November 23rd to $48.
The coin has formed what looks like a double-top pattern between $91 and $100. It has also dropped below the 50-day Exponential Moving Average (EMA), but remains above the ascending trendline that connects the lowest swing since September this year.
The Pi coin has also formed a bearish pennant pattern, which is a popular risky pattern. Therefore, there are rising odds that the coin will drop to about $37, the lowest swing on October 17. This view will be confirmed if the coin drops below the green ascending trendline.
The alternative scenario is where the Pi coin price bounces back and moves to $65, the highest swing on November 8.
