Many investors are curious about the future of Pi Coin and are asking, “Will Pi Coin rise?” In a surprising turn of events, Pi Network has demonstrated resilience after a tumultuous week marked by a significant decline. Over the weekend, the altcoin managed to bounce back into double digits, raising questions about its future trajectory. Following a drop below the $1 threshold in March, Pi Coin faced a rapid devaluation, primarily driven by panic selling and the pervasive influence of FUD (fear, uncertainty, and doubt). However, as the market stabilizes, there is a growing sense of optimism surrounding the altcoin’s potential recovery.
Pi Coin Hits All-Time Low
In the last fortnight, Pi Network has experienced a staggering loss of over 38% in value. Yet, following this downturn, the altcoin has begun to show signs of recovery. Recent data from CMC indicates that Pi Coin plummeted to an all-time low of $0.40 within a 24-hour period, marking a significant crash. Despite briefly reclaiming its position among the top altcoins, it has been on a downward trajectory since early February. After hitting the $0.40 mark, Pi Coin surged by an impressive 53%, climbing 15% in just one day. However, it faced a retreat to the $0.60 range after a swift rise above $0.71.
As of this writing, Pi Coin is trading at $0.6115. While it has shown some recovery in daily trading, the increasing uncertainty in the market and negative developments surrounding Pi Network could reignite selling pressure. The critical level to watch for this altcoin is the $0.4 mark; a closing below this level could lead to further losses and heightened concerns among investors.
Why Did the Pi Token Price Drop? Is Burning Pi Tokens a Solution?
Despite the recent downturn and poor performance of the PI token, market analysts have been closely monitoring the movements surrounding this altcoin. A notable factor contributing to the volatility is the withdrawal of 20 million PI tokens from exchanges, coinciding with the unlocking of additional PI tokens, which has resulted in a complex market dynamic.
Dr. Altcoin, a well-known analyst, pointed out that the surge in Pi’s price began with a significant withdrawal of 10 million Pi from the OKX exchange. This particular wallet currently holds over 15 million Pi coins, indicating a concentrated position. Furthermore, the analyst highlighted that the CEX Pi balance has decreased from 370 million to 330 million in the past 24 hours, suggesting a recovery in demand following the recent dip.
Cheeky Crypto provided insight into the price drop, stating, “The token fell to new lows during major unlock events, only to rebound sharply afterward.” This rapid fluctuation in price has sparked discussions about whether the movements are a result of market volatility or potential manipulation. Additionally, Dr. Altcoin emphasized that for Pi Coin to achieve a swift recovery, the Pi Foundation should consider implementing a token burn strategy. However, it remains uncertain whether this approach would yield a sustainable long-term solution.
As investors ponder the question, “Will Pi Coin rise?” the market’s response to these developments will be crucial in determining the altcoin’s future. The interplay of market sentiment, demand dynamics, and strategic decisions by the Pi Foundation will ultimately shape the path ahead for Pi Coin.
