Pi Network (PI) has seen an astounding surge of over 70% in the past 24 hours, propelling its market capitalization to an impressive $16 billion and trading volume to more than $2.3 billion.

Despite reaching new record highs near the $3 mark, there are indications of a bumpy ride ahead for PI. Traders are closely monitoring the token's movements as it navigates between strong bullish momentum that could drive it to $4 and cautionary signals that could trigger a pullback to support levels as low as $1.7 or even $0.79.

The Pi Network's Directional Movement Index (DMI) is painting a picture of robust uptrend strength, with its Average Directional Index (ADX) skyrocketing from 12.3 to 57.7 within a day. This surge indicates a significant ramp-up in the underlying trend's intensity.

Additionally, the Positive Directional Indicator (+DI) has surged while the Negative Directional Indicator (-DI) has plummeted, affirming a solid bullish trend for Pi Network with minimal selling pressure.

Despite the recent price surge, Pi's Bollinger Bands Trend indicator (BBTrend) has taken a negative turn, potentially signaling an overextended uptrend vulnerable to a correction or consolidation phase.

While the possibility of Pi reaching $4 in the near term is on the horizon, caution is advised as the negative BBTrend reading hints at a potential reversal or correction. Should a pullback occur, support levels at $1.7 and $1.42 could be tested, with a more severe downturn possibly leading to a retrace to $0.79.

The recent rally speaks to the growing market interest in Pi Network, but traders and investors must remain vigilant as technical indicators suggest a challenging road ahead. Stay tuned for further updates on Pi's price movements and market trends.