Pi Coin Surges 50% But Faces 44% Volume Drop, Community Concerns

Pi Coin, the cryptocurrency associated with the Pi Network, has experienced a significant price recovery this week, rising from $0.40 to over $0.60. However, this rebound is overshadowed by growing concerns within the community. The daily trading volume has plummeted by 44%, indicating a rapid decline in investor interest. Despite maintaining a market capitalization above $4.1 billion, many investors view this rally as temporary unless substantial changes are made.

Community members, such as Edycabas, have highlighted the underwhelming activity on the Pi network, noting that the blockchain processes less than one transaction per second. This falls short of the promises made during the Open Mainnet phase. Crypto analyst Dr. Altcoin echoes these sentiments, emphasizing that while the network is stable, the lack of trust due to the core team's absence from public discussions is deterring serious investors and centralized exchanges. The community's frustration is palpable, with many feeling let down after years of dedication and calling for greater accountability.

Looking ahead, the situation is set to become even more challenging. Starting next week, approximately 134 million Pi tokens are expected to enter circulation each month. Without clear guidance from the team or measures like token burns, this influx could significantly impact the price. Dr. Altcoin suggests that a bold move toward a $10 target could revitalize the ecosystem, but if no changes are made, a drop below $0.30 is a real possibility. The current technical analysis shows that the PI price started the day in a tight trading range between $0.590 and $0.603, eventually breaking to the downside before recovering and forming a steady upward channel. The RSI and MACD indicators support this bullish momentum, but the overall structure remains fragile without concrete actions from the core team.

As the price approached the $0.605 resistance, signs of slowing momentum became apparent. The RSI hit overbought territory, and the MACD printed a minor death cross, suggesting potential short-term fatigue among buyers. However, the rising trendline still supports a bullish outlook, with potential support levels at $0.600 and $0.5812. Unless the trendline breaks, bulls may still have a chance to push the price higher. Nevertheless, Pi Coin's future hinges on more than just a temporary price bounce. The community needs tangible actions, such as increased transparency, token burns, or direct communication from the founders, to sustain long-term growth and reach the $10 target. Without these measures, the current momentum is unlikely to last, and the cryptocurrency faces significant challenges ahead.