Pi Coin is facing significant pressure as the protocol prepares to unlock over 1.5 billion tokens over the next year. A recent surge in token unlocks, coupled with declining demand and concerns about privacy, has fueled bearish sentiment. 263 million PI tokens will unlock in June, followed by another 233 million in July, and 132 million in August. This wave of unlocks is raising concerns about an upcoming sell-off as exchange inflows increase, putting the price at a critical level near $0.7411.
Technical indicators further exacerbate these anxieties. The BBTrend has dropped to -4.89 from a positive 4. The MACD signals bearish momentum with expanding red histograms. RSI also remains below neutral levels at 47.25, indicating downward pressure on the coin’s value. On-chain data shows more tokens moving to centralized exchanges, adding fuel to the sell pressure.
Adding to the woes is a recent CCN report highlighting insider activity and possible rug pull fears. These concerns, coupled with growing privacy issues surrounding Pi Network’s app and lack of clarity around tokenomics, have heightened investor anxieties.
Looking ahead, technical analysis points towards a continued downward trend. The Ichimoku Cloud suggests that prices are likely to remain under pressure as long as the bearish momentum continues. The Tenkan-sen and Kijun-sen remain flat, but the overall picture paints a clear picture of downward movement. The cloud remains thick and red, indicating resistance until there’s a shift in market sentiment.
The overall outlook for Pi Coin remains negative. As more tokens unlock, demand is likely to weaken, leading to potential price drops. Unless bulls reclaim the $0.795 level and reverse bearish momentum, further losses are likely.