Pi Network is under pressure due to a recent large token unlock and growing criticism from experts. This article explores the key aspects of the situation.
Unlocking 270 Million Pi Tokens
The recent unlocking of 270 million PI tokens has affected its price. Market skepticism has escalated due to statements from leaders such as Bybit's CEO, who labeled the Pi Network a scam while citing official police warnings.
96% of Tokens Controlled by Top 100 Wallets
The token unlock led to increased market liquidity, with daily trading volume at $80 million. However, 96% of the PI supply is controlled by the top 100 wallets, raising volatility concerns.
Speculative Capital May Stabilize Pi Price
Previous token unlocks have resulted in temporary declines but eventual stabilization. Expert analysis suggests that speculative capital could help stabilize prices post-unlock. Kim H. Wong, a digital currency analyst, stated, "Trading in Pi is disappointing as pioneers keep selling and buy orders are small. However, as sellers exhaust and buyers jump in, the price should go back up again."
The situation surrounding Pi Network remains tense due to the unlock, increasing criticism, and the dominance of large wallets. However, the market may become more stable due to speculative capital.
