Pi Coin Drops 19.2% After No-Reward Staking Announcement

Pi Coin (PI) has experienced a significant decline, dropping by 19.2% over the past week. This downturn follows the highly anticipated “Pi Day” event, which introduced a new staking initiative called Ecosystem Directory Staking. This mechanism allows users to lock up their Pi to support their favorite apps, with the most-staked apps rising in rank across the network. Initially, this seemed like a positive development for the project and the long-term Pi Coin price prediction.

However, the Core Team clarified that this staking mechanism would not offer any rewards to users, a departure from typical staking models in the crypto space. This decision sparked frustration among Pi’s community, who expected incentives in exchange for locking tokens. Staking traditionally helps secure blockchain networks and drive adoption, making the lack of rewards a significant disappointment.

The Core Team explained that it does not make sense for the project to promote specific apps via staking rewards. Instead, they encourage each protocol to provide the incentives they deem fit to encourage users to lock in their tokens. This clarification did little to alleviate community concerns, as the price of Pi Coin continued to decline. Upon hitting a local high of $0.66, Pi Coin started to decline sharply until hitting $0.4750 just four days after “Pi Day.”

The developing team failed to excite market participants, and a rising circulating supply coming from daily token unlocks has kept pushing down the price. Looking at the 4-hour chart, the $0.4750 level has cushioned a previous drop once already. The price has closed with gains in the past 12 hours upon hitting that threshold. This confirms its relevance to market participants, especially if the latest 4-hour candle breaks above the token’s falling wedge formation. This would favor an upcoming push to the $0.57 area.

Meanwhile, a break below this key support could favor a Pi Coin price prediction of $0.40 in the near term. So, we may not see Pi Coin hitting $0 yet, but this latest disappointment related to its no-reward staking mechanism could surely push the token to a new all-time low. In the meantime, many other cryptos have been recovering and performing quite positively. Storing them safely is key for users and a hot crypto presale called Best Wallet (BEST) provides the perfect solution to do this.