TL;DR
- Over 246 million PI unlocking this month adds pressure despite recent short-term price gains.
- PI trades inside a descending channel; $0.50 breakout may shift current bearish trend.
- 376 million PI now on exchanges, with Gate.io leading—fueling concern over sustained sell-offs.
PI Price Sees Modest Recovery
At the time of writing, the price of Pi Network (PI) sits at $0.4755, marking a 3.08% increase over the past 24 hours. However, the token has experienced a decline of 5.54% over the last week, resulting in a market capitalization of $3.62 billion. The current trading volume reflects a robust $78.8 million within a 24-hour period. Over the past day, PI has fluctuated within the range of $0.4612 to $0.4738, and over the week, its range has been $0.4477 to $0.5053.
While recent short-term gains are promising, a more comprehensive analysis reveals a long-term downtrend. PI is currently trading within a descending channel that has been established since its recent peak. The price is rebounding from a critical demand zone situated between $0.44 and $0.47.
An important immediate resistance level lies at approximately $0.50. A successful breakout from this threshold could pave the way for further testing of higher price levels around $0.5486 and $0.6506.
However, caution is warranted, as the Stochastic RSI indicates an overbought condition above 90. This suggests that a short-term pullback or consolidation may occur before any further upward momentum can be sustained.
For any bullish continuation, maintaining support above the demand zone of $0.44 is critical. Traders are closely monitoring for a sustained close above the $0.50 mark to validate a potential trend reversal.
Exchange Activity and Token Unlocks Raise Concerns
Recent data from crypto analyst Moon Jeff indicates that a substantial 376 million PI tokens are now held on exchanges, with Gate.io accounting for 177 million PI within its deposit wallet.
“All these coins are from pioneers who are bringing the selling pressure,” he remarked. “If this stops, PI will pump to $1 easily.”
The ongoing supply increase is a cause for concern, with over 246 million PI expected to unlock over the next 30 days, including 16.4 million on July 10.
As previously reported, PI has fallen nearly 70% in the past two months. This unlocked supply contributes to consistent selling pressure, creating an environment for more holders to exit the market. Without a significant uptick in demand or a reduction in unlocks, the potential for meaningful price recovery remains uncertain.
The original post can be found on CryptoPotato.
