Pi Network Price Must Drop Below $0.40 To Trigger Rally, Here’s Why

Pi Network Price Must Drop Below $0.40 To Trigger Rally, Here’s Why
coinpedia
coinpedia
PI-3.07%

The post Pi Network Price Must Drop Below $0.40 To Trigger Rally, Here’s Why appeared first on Coinpedia Fintech News

Pi Network’s price momentum appears to be weakening, and it may soon fall below $0.40. Despite recent announcements about ecosystem growth and app hosting, experts hint that most of the positive developments have already been factored into the price, leaving little support for current levels.

Factors Behind the Bearish Outlook

1. Pi2Day Hype Fully Priced In: The excitement around June’s Pi2Day event, AI collaborations, new merchant listings, and ecosystem applications briefly boosted market sentiment. However, these announcements were driven by emotion rather than real capital inflows, and the price impact has already faded.

2. Large Token Unlock Expected in July: In July, more than 276 million PI tokens, accounting for 3.7% of the circulating supply, will be unlocked. With no new developments expected in the immediate term, this increase in available tokens is likely to add selling pressure, prompting cautious or bearish market behavior.

3. Short-Lived Price Rallies: Historically, Pi Network’s price surges have been brief. Events like the Mainnet launch and Pi2Day celebrations have triggered short-term spikes, typically lasting less than a week, before prices returned to previous levels. As a result, professional traders remain hesitant to hold long positions.

4. $0.40 as a Key Support Level: Technicals point $0.40 both a critical chart support and a psychological threshold. A drop below this level could trigger buying interest, creating a triple-bottom pattern that might support a future recovery.

New Developer Hosting May Support Long-Term Growth

While short-term price forecasts remain bearish, Pi Network recently introduced an update to its platform that could strengthen its ecosystem. The core team announced it would begin directly hosting developer applications, removing the need for external infrastructure like servers and security systems.

This change is expected to lower the barrier for developers, enabling faster, easier creation of applications that use Pi for payments and transactions. It could help attract more developers to the platform and gradually increase the utility and use cases for the Pi token.

The content on this page is provided by third parties. Unless otherwise stated, OKX is not the author of the cited article(s) and does not claim any copyright in the materials. The content is provided for informational purposes only and does not represent the views of OKX. It is not intended to be an endorsement of any kind and should not be considered investment advice or a solicitation to buy or sell digital assets. To the extent generative AI is utilized to provide summaries or other information, such AI generated content may be inaccurate or inconsistent. Please read the linked article for more details and information. OKX is not responsible for content hosted on third party sites. Digital asset holdings, including stablecoins and NFTs, involve a high degree of risk and can fluctuate greatly. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition.