The price stability experienced for the past few days from Pi Network’s native token came to an end today as it slumped by roughly 10% at one point to a multi-month low.
This comes despite the relatively small number of tokens scheduled to be unlocked in the next few weeks. However, some analysts believe the asset is primed for another correction since it just lost a crucial support.
PI Drops Again
The chart below will demonstrate PI’s inability to produce and maintain a healthy breakout for months. The asset marked an all-time low of $0.1312 on February 11 but went on a spectacular run in the following weeks that culminated a month later at $0.30. This became possible amid building hype for the token’s listing on the major US exchange, Kraken.
Once it actually went live for trading, though, the crash was even more profound as it dumped below $0.18 within 48 hours. It produced a couple of breakout attempts in the following two months, but it was stopped every time at the $0.20 resistance.
The past week or so was relatively boring (or stable, if you will), with PI trading sideways in a tight range between $0.17 and $0.18. However, it nosedived once again on a daily scale to a three-month low of $0.155 before it found some support and now sits around $0.16. It’s still over 6% down daily, and the most evident reason appears to be the state of the broader market.
As reported earlier, BTC and most altcoins dumped hard in the past 24 hours. The market leader plunged below $78,000, while some alts slipped by up to 10%, such as HYPE. PI is no exception now, but it has also fallen out of the top 50 alts by market cap as its own is below $1.7 billion on CG.
More Pain Ahead?
X commentator Crypto_Jobs warned that if PI fails to reclaim the $0.165 level soon and shift the trend, its trouble might just be starting. They outlined the next support levels that the token could dump to, including all the way down to $0.13, which would be a new ATL.
In contrast, if PI is to improve its positioning and gain some traction by surging past $0.165, it could aim at $0.18 or even $0.215. For now, though, the situation appears weak.
The unlocking schedule for the next month shows an average of 6.3 million tokens to be released, which is below the high numbers of over 8 million seen a couple of months ago. However, there are several days of over 15 million tokens to be unlocked, which could intensify the immediate selling pressure.
The post Why Did Pi Network’s (PI) Price Crash to a 3-Month Low Today? appeared first on CryptoPotato.
