TL;DR
- PI dropped below $0.55 as market tensions and global trade wars escalate.
- With millions of tokens set to unlock this month and no major exchange listings, the price might continue its downtrend in the near future.
Pi Network’s native token, which has been in severe decline in the past few months, saw an evident resurgence over the weekend. As CryptoPotato reported, its price pumped by double digits and hit almost $0.75 on April 5.
However, the bears stepped in again with the start of the new business week, erasing much of the gains. Currently, PI trades at around $0.53 (per CoinGecko’s data), representing a 14% decline on a 24-hour scale. Its market capitalization slipped below $4 billion, pushing the asset away from the top 30 club.
The most likely explanation behind the latest plunge is the overall collapse of the digital asset sector witnessed in the past several hours. The financial and crypto markets are under serious tension following the escalation of the global trade war.
Recall that US President Trump recently announced a new wave of tariffs on virtually all countries, while some of the affected nations have either slammed reciprocal tariffs, plan to do so, or push for negotiations.
Meanwhile, a substantial number of PI tokens are scheduled for release this month. Last week, Watch.Guru revealed that more than 121 million PI tokens will be unlocked before the end of April.
The circulating supply currently stands at around 6.8 billion coins, which constitutes locked mining rewards and unlocked mining rewards. The latest data shows that 75% of the tokens remain locked, leaving questions about what might happen to the price once this amount frees up.
Last but not least, leading exchanges like Binance and Coinbase remain uninvolved with Pi Network’s cryptocurrency despite the speculation that they might allow trading services with it.
Support from these behemoths will increase PI’s liquidity and accessibility and potentially fuel a price rally.
The post Why is the Pi Network Price Down Today? appeared first on CryptoPotato.
