Pi Coin Drops 6% Amid 100 Million Token Unlock

Pi Coin has experienced a significant decline in value over the past 24 hours, dropping nearly 6% to around $0.462, just above its historical bottom near $0.40. This downturn is particularly notable given the broader cryptocurrency market's surge, with Bitcoin soaring past $118,000 and Ethereum holding above $3,000. Despite these market gains, Pi Coin has underperformed, declining more than 29% in the past two weeks. Even the recent Pi2Day event failed to revive sentiment among holders.

A major contributing factor to Pi Coin's decline is the large token unlock scheduled for this month. Between July 8 and 15, over 100 million PI tokens, roughly 1.5% of the total supply, will be released into circulation. On a single day, 10 million tokens are set to enter the market, adding significant selling pressure as early holders cash out their investments.

Technical indicators for Pi Coin offer little relief. The cryptocurrency remains trapped in a downward trend channel with weak volume and a bearish Relative Strength Index (RSI) near 39.8, indicating that the asset is oversold but lacking momentum. Unless a major catalyst, such as a new exchange listing or a sudden spike in demand, emerges, the price may continue sliding toward $0.40 or even lower.

Despite the bearish outlook, there are signs of potential recovery. The RSI has climbed to 55.46, a neutral but improving signal that could indicate momentum is starting to shift. While the current setup still leans bearish, a confirmed breakout above the descending channel could trigger a sharp reversal. In that scenario, Pi could target key resistance levels at $0.98, $1.38, and $1.67, with the potential for a sustained recovery if bullish momentum builds.

The ongoing crypto market bull run and the recent supply reduction are additional factors that could contribute to Pi Coin's recovery. March marks the first signs of a meaningful recovery for Pi, with the average price predicted to rise to $0.4421, and the potential to reach as high as $0.5501. However, unless a major catalyst emerges, such as a new exchange listing or a sudden spike in demand, the price may continue sliding toward $0.40 or even lower. Analysts have forecasted that if Pi manages to capture 5% of the AI market, the altcoin is expected to trade above $100 by 2030, registering an incredible 200-fold surge. However, these are speculative predictions and should be taken with caution.