Currently, the price of Pi Network is set to decline, with forecasts indicating a potential drop below $0.40 due to various market factors and a lack of new growth stimulants.
Factors Behind the Bearish Outlook
1. Pi2Day Hype Fully Priced In: The emotional boost from Pi2Day, AI collaborations, and new merchant listings briefly elevated the market. However, this impact has faded.
2. Large Token Unlock Expected in July: More than 276 million PI tokens will unlock next month, accounting for 3.7% of the circulating supply, likely adding selling pressure.
3. Short-Lived Price Rallies: Historically, notable price spikes have been brief, typically lasting less than a week before reverting to previous levels.
4. $0.40 as a Key Support Level: Technical analysis points to $0.40 as a critical support level, with a drop below it possibly prompting new buying interest.
Short-Term and Long-Term Prospects
In the short term, the outlook appears bearish due to the factors mentioned. Nevertheless, long-term changes within the platform may provide growth opportunities and renewed investor interest.
Long-Term Growth Support via New Developer Hosting
Pi Network's recent introduction of a developer hosting function could significantly energize its ecosystem. Simplifying access for developers to create applications utilizing Pi for payments may attract new initiatives and expand the use of the token.
Although short-term forecasts for Pi Network appear pessimistic, the introduction of new platform capabilities could open avenues for growth. Renewed interest in Pi may arise with successful integration of new applications.
