The Pi Network’s mainnet asset, Pi coin, is entering the summer months with a weak momentum. Once approaching $3 in February, the price now hovers around $0.69, marking a monthly loss of 75%. High-volume coin unlock events, increasing market entries, and declining technical indicators are eroding investor confidence, making the prospect of hitting the $1 mark seem distant.
Pi Coin Locked in a Crucial Support Range
In recent weeks, Pi coin has been trapped in the $0.688 to $0.816 range. Short-term exponential and simple moving averages have taken position above the price, indicating a bearish control. Bollinger bands are narrowing while the MACD remains in negative territory, with the RSI at a neutral position of 43. Despite fluctuating trading volumes, they’ve surged 42% in the last 24 hours to $158 million, suggesting an influx of coins into exchanges. Downward support is seen first at $0.60 and then at $0.50. An upward breakthrough cannot be anticipated until prices clearly surpass the strong resistance of $0.75 to $0.78.
By the end of May, Pi could swing between $0.70 and $0.76. Should buyer interest rekindle, a short test around $0.85 might occur, contingent upon consistently strong volume. While the Pi Core team has initiated a $100 million fund aiming to expand real-world applications, investors remain skeptical due to an ambiguous roadmap. Currently, the market is striving to absorb the pressure from unlocked coins, ready to be sold.
The Coin Unlock Schedule Intensifies Selling Pressure
In June, 263 million Pi coins are set to be released, followed by 233 million in July and 132 million in August. This massive timetable is compelling miners, already poised to sell due to limited demand, to act swiftly. On-chain data shows a sharp increase in Pi transfers from wallets to exchanges over the past two weeks. Consequently, those hoping to purchase at lower rates are growing in number, raising the likelihood of the price dipping into the $0.58 to $0.65 range.
Analyst CoinDCX predicts that if demand revitalizes, the altcoin could bounce to the $1 to $1.20 range rapidly. With strong momentum, an end-month target of $1.82 is conceivable. Conversely, Dr. Altcoin warns of a potential drop to $0.40 if transparency issues persist.
Investors are currently most eager to know when the core team will present concrete progress reports. Until then, the story of Pi seems bound to a weak technical outlook and the dual pressures from coin unlocks.
