The Pi Network (PI) is facing a tough time as its price continues to decline, even as Bitcoin and other altcoins show signs of recovery. On Wednesday, Pi dropped to $0.7915, marking its lowest level since February 2022. This represents a staggering 74% decline from its all-time high, wiping out $14.65 billion from its market cap, which now stands at just $5.35 billion.
Why Is Pi Network Crashing?
One of the biggest reasons behind Pi’s downfall is the lack of major exchange listings. Despite launching its mainnet, Pi has yet to be listed on top-tier platforms like Binance, Coinbase, and Upbit. Currently, trading is mostly limited to exchanges such as OKX, Gate.io, and Bitget.
- Binance: The largest crypto exchange globally, yet it has not listed Pi.
- Coinbase: A listing here would grant access to the American market.
- Upbit: A dominant exchange in South Korea, where Pi has a strong user base.
Without these listings, millions of potential investors are unable to trade Pi, contributing to its weak demand.
Decreasing Investor Interest and Token Supply Concerns
Investor enthusiasm for Pi Network is fading. According to CoinGecko, Pi’s 24-hour trading volume was just $213 million on Wednesday—far lower than its $1 billion daily average in February and early March.
Another major concern is Pi’s tokenomics. Data from Pi Scan reveals that the Pi Foundation holds most of the circulating and locked tokens, leading to centralization worries. The foundation’s seven wallets collectively hold around $50 billion worth of Pi, giving it significant control over the supply.
Additionally, a wave of token unlocks is set to release 1.6 billion new tokens over the next 12 months. This massive influx of supply has triggered panic selling among holders, further pushing down the price.
Is a Rebound Possible?
Despite its decline, technical indicators suggest that Pi might see a short-term bounce.
- Falling Wedge Pattern: This bullish formation suggests a potential reversal.
- Oversold RSI: The Relative Strength Index (RSI) is signaling that Pi is in oversold territory, meaning a rebound could be on the horizon.
- MACD Indicator: While still below the zero line, it could flip bullish if momentum shifts.
If a recovery occurs, analysts predict Pi could retest the $1.80 resistance level, marking a 125% increase from its current price. However, breaking past this level will require renewed investor confidence and, most importantly, major exchange listings.
For now, Pi Network remains in a fragile state, with its future largely dependent on how its ecosystem develops in the coming months.
