Despite a general downturn in the cryptocurrency market, Pi Network (PI) is showing resilience at the $1.4 resistance level. Investors are exercising caution due to the impending large-scale token unlock events expected in the coming weeks, which could create potential selling pressure. However, the anticipation of being listed on major exchanges like Binance is injecting optimism into the market. Over the past week, PI has experienced a 24% decline, fluctuating between $1.30 and $1.45 throughout the day.
Potential Effects of Token Unlocking
Market participants are focusing on the upcoming release of 271.68 million PI tokens within the next 30 days. In a project where an average of 9.05 billion tokens is released daily, this amount is expected to increase on March 17. The high supply raises concerns about the risk of prices dropping below the $1 mark.
The daily trading volume has decreased to $527.7 million, indicating that investors are adopting a wait-and-see strategy. Since its inception, PI has lost 19% of its value, heightening short-term pressures. Experts warn that if the price cannot maintain support levels after the token unlock, a wave of selling could deepen.
Binance Listing Potential and Optimism
The potential for Pi Network to be listed on Binance serves as a critical motivator for investors. In surveys conducted by the platform, 86% of users supported the demand for a listing. With over 47 million users in the project, this expectation is further strengthened.
If the listing occurs, a significant leap in PI’s liquidity and market value is anticipated. However, it is noted that the token inflation prior to the listing could pressure the price. Some analysts predict that investors may increase their positions ahead of the listing.
