Pi Coin Plummets: Can It Recover Amid Mainnet Delays?
The Pi Network is facing one of its toughest moments as its cryptocurrency, Pi Coin, drops sharply, breaking below key support levels. Recently, Pi Coin hit a low of $1.3340, marking a massive 55% decline from its February high of $3. This significant plunge has left many in the Pi community worried about its future, especially as frustrations mount over ongoing mainnet migration issues. The big question now is: Can Pi Coin bounce back above $1.50, or is more trouble ahead?
So, what’s causing this downturn? There are several factors at play here. One of the biggest concerns is the fear surrounding upcoming token unlocks. Right now, Pi’s circulating supply sits at about 7.22 billion tokens, but the total supply is a whopping 100 billion. That means nearly 93 billion tokens are still locked and could eventually enter the market, creating immense selling pressure. In March alone, 188 million tokens are set to be released, with 1.4 billion planned for the year. If demand doesn’t keep up with this growing supply, Pi Coin’s price could continue to slide.
Another factor weighing down Pi Coin is the broader crypto market downturn. Bitcoin, the industry’s benchmark, has seen significant declines, dragging down many altcoins, including Pi. Market sentiment has also been shaky due to events like former U.S. President Donald Trump’s crypto summit, which introduced regulatory uncertainties. This uncertainty led investors to react with a “sell-the-news” approach, triggering widespread sell-offs.
On the technical side, things don’t look great for Pi Coin either. The token recently broke below its crucial $1.50 support level, confirming a bearish Head and Shoulders pattern. Key technical indicators suggest more downside risk:
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Moving Averages: Pi Coin is trading below its 50-period moving average, signaling a bearish trend.
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Relative Strength Index (RSI): The RSI is pointing downward, indicating weakening buying pressure.
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MACD (Moving Average Convergence Divergence): The MACD trend is also bearish, reinforcing the possibility of continued declines.
Adding fuel to the fire, Pi Network’s mainnet migration issues have sparked widespread criticism. The network recently set a deadline of March 14 for users to complete their KYC (Know Your Customer) verification and migrate their Pi Coins. Those who miss this deadline risk losing their holdings, except for coins mined in the last six months. However, many users have reported unresolved technical issues that prevent them from transferring their coins, leading to frustration and calls for an extension.
One user, Jaro Giesbrecht, expressed disappointment on social media, saying, “The Pi Network has done nothing to fix this problem, and it’s affecting a large number of users.” Another user pointed out that despite having their security circle fully verified, about 80% of their balance still appears as unverified. Such issues are fueling dissatisfaction among the Pi community and raising doubts about the network’s ability to handle the migration smoothly.
So, where does Pi Network go from here? There are two possible scenarios:
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A Bearish Outcome: If the current downward trend continues, Pi Coin could break below the critical $1.00 mark. This could trigger further panic selling, potentially pushing its price even lower.
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A Bullish Rebound: Some analysts believe that with Pi Day (March 14) approaching, there could be renewed interest and buying pressure. If Pi Coin can reclaim and hold above $1.50, it might regain momentum and move toward the $2.00 level.
Right now, Pi Network is at a crossroads. The increasing supply of Pi Coins, combined with overall market weakness and ongoing migration issues, is making things tough for the token. While long-term supporters remain optimistic, the short-term outlook suggests heightened volatility. Investors will need to keep a close eye on upcoming token releases, market conditions, and whether Pi Network can address its migration challenges effectively. Whether this is a temporary dip or the start of a longer downward trend remains to be seen.
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