- A bearish technical pattern indicates a potential 45% price drop amid a weak market structure.
- Lack of exchange listings reflects deep-rooted project limitations, impacting token visibility and investor trust.
- Declining network activity and upcoming unlock events raise red flags about PI’s long-term sustainability
A recent technical analysis of the Pi Network’s PI token reveals a bearish pennant pattern, often considered a precursor to downward price action. Despite a short-term price surge of 8.85%, pushing PI to $0.8015, the pattern’s structure suggests a weakening trend. The support level sits at $0.7302, while resistance caps gains at $0.8406, indicating limited upside potential. With market momentum fading, analysts suggest the token could decline by up to 45% if the bearish setup fully materializes.
Source: CoinMarketCap
This pattern typically emerges after a strong downtrend, followed by a brief consolidation that fails to build the momentum needed for a reversal. The presence of this pattern aligns with several broader concerns, each reinforcing bearish sentiment.
Exchange Listings Remain Unlikely Without Structural Reform
The absence of listing s for the PI token on major exchanges continues to hinder its market potential. Industry observers argue that unless the project undergoes exceptional and structural reform, a widespread listing remains unlikely.
Without listing on premier exchanges, Pi Network lacks exposure to a broader investor base, which could have stabilized price volatility. Until meaningful change occurs, the gap between the project’s ambition and its market footprint remains wide.
Activity Decline Reveals Ghost Chain Concerns
Another major factor influencing sentiment around the Pi Network is its declining on-chain activity. Metrics suggest a significant drop in developer participation and user engagement, raising concerns that the network is becoming a ghost chain.
Once considered an innovative mobile-first blockchain project, Pi Network now shows signs of stagnation. This decline in core activity weakens fundamental value and makes the network less attractive to developers and investors alike. Without a dynamic ecosystem and continuous updates, sustainability becomes uncertain. The current level of inactivity is incompatible with long-term token appreciation, reinforcing bearish pressure.
Token Unlock Events Could Flood the Market
One of the most pressing threats to the PI price is the looming risk of token unlocks. When large quantities of previously locked tokens enter circulation, it often exerts downward pressure on prices. Pi Network’s vesting schedule suggests that more unlocks are approaching, which may significantly dilute the token’s value.
Without sufficient demand to match new supply, the PI token risks oversaturation. Historical data from similar projects shows that such events can trigger steep price corrections, particularly in the absence of counterbalancing catalysts. This supply-side shock, combined with weak demand indicators, could exacerbate the ongoing selloff.
Final Outlook
While PI has shown a modest short-term gain, the broader outlook remains bearish due to technical and structural factors. The bearish pennant, lack of major listings, reduced on-chain activity, and upcoming token unlocks collectively present an exceptional and dynamic risk profile. A projected 45% correction remains plausible unless the project undertakes unparalleled efforts to restore confidence and functionality. For now, Pi Network continues to face a critical inflection point that could determine its medium-term viability.
