After a series of six consecutive days of decline, Pi Network (PI) continues to plummet below the $0.50 mark, creating an increasingly gloomy market sentiment. Despite expectations for the Pi2Day event and the launch of the Pi App Studio platform, the market still lacks positive signals, while the latest data from PiScan shows that a large unlocking is about to occur, which could push the Pi price down further.
🔓 19.2 Million Tokens Will Be Unlocked on July 4 – Risk of Increased Supply Causing Selling Pressure
According to data from PiScan, July 4 will see 19.2 million PI tokens unlocked, becoming the largest unlock in the month. This is part of a total of 268.4 million PI expected to be unlocked throughout July – the largest number until October 2027.
A large-scale unlocking like this often increases selling pressure as users may want to realize profits or exit positions, especially in the context of a declining market. This event raises concerns that the PI price could continue to plunge deeper, particularly if there are no positive catalysts in the short term.
🤖 Pi2Day and Pi App Studio – Technical Progress But Not Strong Enough
On June 29 – on the occasion of Pi2Day, Pi Network announced the launch of Pi App Studio, a no-code platform using AI to allow the community to rapidly develop applications without programming knowledge.
At the same time, the Ecosystem Directory Staking has also been implemented, encouraging users to stake PI to improve application rankings within the Pi ecosystem.
However, despite these updates, Pi2Day has not generated a significant push for the market. The Pi price continues to decline, indicating that investor confidence remains weak and these initiatives need more time to prove their actual effectiveness.
📉 Technical Analysis: Risk of Breaking the Support Level at $0.47 – Next Target $0.40?
At the time of writing (Tuesday, July 1), the Pi price has dropped by 3%, extending the series of six consecutive red candles. Last week, Pi had recovered to $0.6667 but quickly reversed and is currently trading around $0.49.
The nearest support level is currently $0.4711 – the low from June 22. If Pi closes the day below this level, it is likely that the price will head towards the strong support area at $0.40, which was tested on April 5 and June 13.
Notably, the RSI indicator is currently at 35, approaching the oversold region – indicating that selling pressure remains strong and there are no clear signs of recovery.
🔄 Reversal Scenario – When Could It Happen?
To avoid a deeper collapse, Pi Network needs to maintain a closing level above $0.5031. If a long lower shadow candle appears, it could trigger short-term buying pressure, bringing the price back to the $0.6600 area – the low from May 17.
However, in the context of a significant increase in supply and weak demand, the short-term recovery potential is relatively low unless there is a major surprise factor from the development team.
📌 Conclusion
Pi Network is facing pressure from both supply (large token unlocks) and demand (decreased confidence, negative sentiment after Pi2Day). The price nearing significant support levels indicates a crucial phase ahead.
Without a solid move or breakthrough in the ecosystem and community confidence, PI could very well drop below $0.40 in July, marking a significant setback from the initial expectations of token holders.