Pi Network And the presence of the main network is Pi Coin, on the agenda recently. However, this time, rather than hopes of ascension, the price of the price of dramatic warnings draws attention. About 20 percent in the last two days Pi Coinis traded around the $ 0.60 threshold during writing. According to experts, the price may drop by 35 to 50 percent.
Supply increase in Pi Coin can draw the price to the bottom
Crypto currency analyst Dr. AltcoinThe main reason for the decline in the price of Pi Coin in the last period is the new Coin supply, which is uncontrolled. Only in April, more than 100 million Pi Coin’s lock will be opened. When it is spread throughout the year, this figure may exceed 1.5 billion. It is stated that if the demand is insufficient in the face of such a high supply that will create sales pressure, the price can be withdrawn up to 0.30 dollars.
Dr. Altcoin, Pi Core TeamHe thinks that this decline is inevitable if he does not take serious steps to control the supply. Moreover, this is not just a prediction. Looking at the current data, the price is already on a fragile ground because it cannot break strong resistance levels. The resistance in $ 0.78 may continue to print down.
According to many experts, the second main reason for Pi Coin’s depreciation is that it cannot reach sufficient buyer masses in the markets. Pistill not listed in large stock exchanges like Binance or Coinbase. This makes it difficult for new investors to reach Altcoin and limits the upward potential of the price.
In addition, despite the developments in the Pi ecosystem, the fact that investor confidence has not fully seated affects the stability of the price. 1.8 million users attended Pi Fest Although its effectiveness and strong community participation give positive signals with technical data, this interest, which cannot turn into liquidity, cannot have a significant impact on the price.
Possible solutions and technical indicators for Pi Network
Some experts to deal with the supply Coin Burning (Burn) in the opinion that mechanisms should be commissioned. Pi Core Team is known to have over 70 billion Pi Coin in his hand. Burning even a small part of this amount can have a positive effect on the price. In addition, the proposal to burn some of the transaction fees collected in Pi applications. Such coin burning models have previously been used to balance the price in networks such as Ethereum.
On the technical analysis side, the Falling Wedge formation attracts attention. Usually such formations indicate the downward frustration. If the price breaks this pattern down, the possibility of a decrease to the level of $ 0.402 on the table. However, it may be possible to turn to the target of $ 1 again if the price increases over $ 0.78 in the scenario. Analyst Moon JeffPi Coin can be recovered again if the support of $ 0.61 is strongly protected.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
