Pi Network Price Surges 11% as Supply Shrinks 30%

Pi Network's price has surged by 11% in the past 24 hours, breaking above the key $0.52 level. This upward movement comes after weeks of stagnation and is driven by several factors beyond the general market momentum. Popular crypto analyst Dr Altcoin suggests that Pi's recent dip to $0.40 may have been its final price bottom, indicating that the cryptocurrency might not revisit this low point again.

Dr Altcoin's confidence is bolstered by the upcoming reduction in the unlocked Pi supply. According to Pi Scan data, the amount of unlocked Pi hitting the market is set to shrink by approximately 30%, dropping to just 116 million coins by the end of August. This reduction in supply could alleviate selling pressure, supporting price stability and potentially driving the price higher.

In addition to supply dynamics, Pi Network is making significant strides in the AI sector. The launch of Pi AI Studio allows developers to build and deploy AI projects within the Pi ecosystem, which could greatly enhance the real-world utility of Pi Coin. Community analyst Mr. Spock predicts that if Pi captures just 1% of the projected $16 trillion AI market by 2030, its market cap could reach $160 billion, representing a substantial increase from its current market cap of $3.97 billion. This could potentially send Pi’s price soaring past $22 in the long term, a 46x gain from its current price.

Bitcoin's rally to new all-time highs has also contributed to the broader crypto market's bullish sentiment, with Pi Network benefiting from this upward trend. The cryptocurrency recently broke above $0.45 and is now holding strong at $0.52, marking its first significant upward momentum this month. This movement is supported by a bullish crossover on the MACD (Moving Average Convergence Divergence) indicator, suggesting a potential new phase of growth for Pi Network.

Despite these positive developments, concerns remain about the decentralization of Pi Network. PiScan data indicates that while South Korea leads with 23 connected nodes, the network has only 10 validators and 792 known peers, suggesting a lack of widespread decentralization. This concentration of nodes could pose risks to the network's security and stability. Additionally, the recent price surge has raised questions about potential market manipulation, with the cryptocurrency's price slipping to $0.46 despite major upgrades, sparking fears of hidden whale manipulation. Order book hints have added to these concerns, suggesting that large holders may be influencing the market. However, the overall bullish sentiment and technical indicators point to a potential rally for Pi Network in the near future.