Pi Coin, the native token of the Pi Network, has suffered a significant price drop, causing concern among investors amidst a broader crypto market rebound.
Market Uncertainty from the FOMC Meeting
The recent FOMC meeting by the U.S. Federal Reserve has brought uncertainty to financial markets. Investors had hoped for interest rate cuts that would benefit risk assets like cryptocurrencies. However, the Fed's reluctance added selling pressure in the markets, impacting Pi Coin as well.
Token Supply and Circulation Concerns
Pi Coin has a total supply of 100 billion, with 6.84 billion in circulation. Although some tokens have been burned due to unverified accounts and transaction fees, there hasn’t been any official large-scale burn. A large token unlock is expected within the next 30 days, increasing market pressure.
Binance Listing Disappointment
Many Pi Coin investors anticipated a listing on Binance following a community vote with 87.1% approval on February 27. However, Binance has not made any announcements, leaving investors disappointed and leading to panic selling.
For Pi Coin to recover, significant updates are necessary. Listing on a tier-1 exchange like Binance and large-scale token burning could stabilize the price, alongside enhancing decentralization.
