Pi Network’s PI Plummets 18% to New All-Time Low

The cryptocurrency market witnessed a sharp downturn, with Pi Network’s PI token standing out as one of the most significant casualties. According to data from CoinGecko, PI’s price tumbled by double digits, plummeting 18% over a 24-hour period. The sell-off drove the asset to a new all-time low of around $0.25 before a slight rebound to $0.29. This precipitous decline has had a devastating impact on PI’s market valuation. Its market capitalization plunged below the $2.5 billion mark, a stark contrast to its position earlier this year. When PI’s price soared to an all-time high of $3, its market cap skyrocketed above $13 billion, comfortably placing it within the elite top 20 cryptocurrencies. The recent crash has seen it fall to 62nd place globally, highlighting a dramatic reversal of fortune.

The price collapse is not occurring in a vacuum; fundamental factors point to intensifying selling pressure. A critical bearish signal is the record amount of PI tokens being transferred to centralized exchanges. Data reveals that the figure has reached a new high of over 446 million tokens, with nearly half of that total—approximately 223 million PI—held on the Gate.io exchange. While transferring coins to an exchange does not guarantee an immediate sale, it is widely interpreted by traders as a preparatory step for liquidation, increasing the potential supply of sell orders on the market.

Compounding this pressure is a scheduled wave of token unlocks. Data from piscan.io indicates that more than 137 million PI are set to be released from vesting schedules within the next month. October 1 is poised to be a particularly significant day, with 13.1 million tokens scheduled for unlock. These unlocks, though less aggressive than those earlier in the year, effectively increase the circulating supply, creating additional headwinds for the price. This fundamental outlook is further complicated by the market’s reaction to network developments. Despite the Pi Network team implementing upgrades like the recent testnet protocol v23, announced via the X account Pi News, these positive ecosystem developments have so far failed to counteract the prevailing bearish sentiment.

Amid the bleak landscape, a key technical indicator suggests the selling frenzy may have been overdone. The Relative Strength Index (RSI), a momentum oscillator tracked on platforms like TradingView, is flashing a potential buy signal. The RSI measures the speed and magnitude of price changes, with readings below 30 typically indicating an asset is oversold and may be due for a corrective rebound. As of the latest data, PI’s RSI stands at approximately 29, placing it firmly in this oversold territory and hinting that the worst of the decline could be over.

This technical perspective is echoed by a segment of the Pi Network community, which views the severe price dip as a strategic buying opportunity. Prominent community members like the X user Woody Lightyear have publicly expressed this optimism. Lightyear remarked on the price action, stating, ‘I watched it live. I was waiting for it. The long red wick candle was a beautiful opportunity. Please liquidate the shorts, too. I am buying PI.’ This sentiment reflects a belief that the current price level represents a significant discount, though it stands in stark contrast to the overwhelming technical and fundamental pressures.