The native token of the Pi Network, PI, has surged by 20% after hitting an all-time low just three days ago. This increase occurred amidst a general rise in interest in the cryptocurrency market.
Price Movement of PI Token
As of the time of publication, PI token reached $0.40, marking a significant rise from its all-time low of $0.335 recorded on August 6. At this time, the token suffered a 90% decline from its peak in February. The recent upward momentum in the cryptocurrency market may have contributed to this rally of PI.
Impact of Token Unlocking Schedule Changes
The average daily unlocking volume for PI tokens is expected to be 5.6 million over the coming weeks, significantly down from 7-8 million in previous months. This change may reduce selling pressure that had previously affected the market. In prior months, the unlocking of large token volumes created downward price pressure if demand remained stable.
Cryptocurrency Market Terminology
Several important terms can help understand the situation with PI token. An 'all-time low' represents the lowest price ever recorded for an asset, which in this case is $0.335. 'Token unlocks' refer to previously restricted cryptocurrency tokens being released into circulation according to a predetermined schedule. 'Altcoins' is the term used for all cryptocurrencies other than Bitcoin, encompassing assets such as PI and Ethereum.
While the recent 20% surge in PI token offers temporary relief for investors after a prolonged decline, questions remain about the sustainability of this recovery. The reduced daily token unlocks may alleviate selling pressure, but the overall state of the market and investor sentiment will be crucial in determining future price trends.
