The PI of Pi Network shows a bearish flag pattern, often considered a precursor to declining price action. Although the price surged in the short term by 8.85%, pushing PI to $0.8015, the structure of the pattern suggests that the trend is weakening. Support is at $0.7302, while resistance caps the gains at $0.8406, indicating limited upside potential. With the market momentum weakening, analysts suggest that the token could drop as much as 45% if a full bearish setup materializes.
This pattern often appears after a significant downtrend, followed by a brief consolidation that fails to generate the necessary momentum for a reversal. The presence of this pattern aligns with several broader concerns, each reinforcing a bearish sentiment.
Listing on Exchanges Remains Unlikely Without Structural Reforms
The lack of PI token listings on major exchanges continues to hinder its market potential. Industry observers believe that unless the project undergoes special and structural reforms, broad listings are unlikely to occur.
Without listings on top exchanges, Pi Network will not reach more investors, which could help stabilize price volatility. Until there is a meaningful change, the gap between the project's ambitions and its market footprint remains significant.
Declining Activity Indicates Ghost Chain Concerns
Another key factor affecting sentiment around Pi Network is the declining on-chain activity. Metrics show a significant drop in developer participation and user interactions, raising concerns that the network is becoming a ghost chain.
Once considered an advanced mobile blockchain project, Pi Network now shows signs of stagnation. This decline in core activity undermines its fundamental value and makes the network less appealing to developers and investors. Without a dynamic ecosystem and ongoing updates, sustainability will become uncertain. The current level of inactivity is incompatible with long-term appreciation of the token, increasing downward pressure.
Token Unlock Events May Flood the Market
One of the most pressing threats to the price of PI is the lurking risk of token unlocks. When a large amount of previously locked tokens enters circulation, it often exerts downward pressure. Pi Network's vesting schedule indicates that more unlocks will occur, which could significantly reduce the token's value.
Without sufficient demand to match the new supply, PI tokens risk saturation. Historical data from similar projects shows that such events can trigger sharp price adjustments, especially in the absence of balancing catalysts. This supply shock, combined with weak demand indicators, could exacerbate the ongoing sell-off.
Final Outlook
Although PI has shown modest gains in the short term, the overall outlook remains pessimistic due to technical and structural factors. The bearish banner, lack of major listings, declining on-chain activity, and upcoming token unlocks together create a particularly dynamic risk profile. A 45% correction is still expected unless the project makes extraordinary efforts to restore confidence and functionality. Currently, Pi Network continues to face a critical inflection point that could determine its mid-term viability.