Pi Network price overbought ahead of Kraken listing: will traders sell the news?

Pi Network price continued its strong bull run in a high-volume environment as investors waited for the upcoming Kraken listing that happens later today. Pi jumped to $0.2890, its highest level since September last year and 122% above its lowest point this year.

Kraken listing is boosting Pi Network price ahead of Pi Day 

The main reason why the Pi Coin price is soaring is that Kraken confirmed that it would list it today, March 13, at 15:00.

This listing comes at an important day as Saturday will be Pi Day, an event that commemorates the mathematical constant pi. It is commemorated by eating pi and mathematics events and competitions.

In most cases, Pi Network normally makes some major announcements about the project on this day. These announcements often share the plans about the future of the project.

However, this time, the team will likely not have a lot to share as it already did on February 20th, which was the first anniversary of the mainnet launch.

The upcoming Kraken listing is important as the company is one of the biggest crypto exchanges in the world, handling billions of dollars in assets a day. It also has millions of customers, mostly from the United States.

While Pi Network has been listed since last year, it has largely not been available to American investors. That's because it is currently listed on exchanges like OKX, Gate, Bitget, and MEXC that are not popular among investors.

Additionally, there is a possibility that the listing will lead to more exchange listings, including by companies like Coinbase, Binance, HTX, and Upbit.

Pi Coin price has more catalysts 

The ongoing Pi Network rally is happening as investors wait for several potential catalysts. One of them is its recently announced partnership with OpenMind, a company at the intersection of robotics and artificial intelligence.

This partnership will lead to more utility for Pi as miners will be able to provide computing power to OpenMind and other companies in the AI industry.

Pi Network will also react to the upcoming launch of native Pi tokens and the decentralized exchange (DEX) and automated market maker (AMM) tools. This product will also lead to more utility, especially if people embrace it.

The other key catalyst for the Pi Network price is the upcoming validator rewards distribution, which will happen later this month.

READ MORE: Here’s why Pi Network Coin price may go vertical this week

Pi Coin price faces two major risks

The ongoing Pi Network price rally faces two major risks. The first one is that the coin could go through a situation known as buy the rumor and sell the news. 

This is a situation where investors buy assets before major news events happen and then sell when they eventually happen. In this case, the price has jumped ahead of the exchange listing and may reverse when it happens.

The other risk is that the Pi Network price has become highly overbought, with the Relative Strength Index (RSI) has jumped to 80, its highest point since May last year.

Therefore, the coin could resume the downward trend, potentially to the key support level at $0.200.