- PI faces resistance at $0.6477 amid weak volume and mixed signals.
- $41M in outflows suggest growing holder confidence.
- Mainnet migration and mining-based tokenomics support long-term growth.
The Pi Network (PI) fell 2.21% in the last 24 hours and is currently trading at $0.6305. However, in the previous week, the token saw a sharper drop, shedding 15.01% of its price, which has been a sign of continued pressure on the markets. The price drop is accompanied by a sharp fall in trading activity, as 24-hour volume falls by 39.63% to $92.82 million, indicating waning short-term investor interest.
Technical indicators give a mixed picture of the near-term prospects for the asset. The Relative Strength Index (RSI) is at 61.28, and the bullish momentum is on the rise. Nonetheless, the token is not pinned to a crucial resistance level at $0.6477. The Moving Average Convergence Divergence (MACD) is an early sign of a potential reversal now, and the Average Directional Index (ADX) of 77.6 confirms a strong underlying trend here. Also, a Bollinger Band width of 33.05% indicates that the asset is on the verge of a period of high volatility.
The complex between $0.6477 and $0.7720 keeps market participants interested; a continued hold would signal more upside. According to analysts, Conservative entries would be best made on retracements near the $0.6335 pivot point. Buoyed by overbought signals, however, caution remains since downside risks remain. Therefore, I advise opening positions above the support level of $0.6202 (S1) for traders. The current market structure is fragile: declining volume is propped up by both reasonably solid liquidity measures of 3.45%.
Pi Network Sees $41M in Exchange Outflows
Analysts have noticed a notable development in the Pi Network ecosystem. In the past 48 hours, more than $41 million worth of PI has been withdrawn from several exchanges, including OKX. This enormous outflow has thinned the circulating supply on trading markets, which is usually considered a signal for investors’ long-term holding or accumulating behaviour.
According to crypto market analysts, such a large scale of withdrawal is bullish and means holders are increasingly comfortable that PI has the potential for long-term value as less supply is available that is ready to trade, if there’s any surge in demand in the future, that would bring pressure upwards on the price level and could break out of the current resistance zones.
Pi Network Tokenomics Allocate 65% to Mining
Pi Network’s mainnet migration still moves smoothly, and over 12 million users have already migrated. Unlike other standard token airdrops, the migration that combines years of mining, identity verifications through KYC procedures, and active contributions to the Pi ecosystem has multiple aspects. Still, we are focused on finishing the first phase of migration, particularly ensuring verified reward distribution happens across different user groups.
Once the first batch is finished, the second phase of the migrations will be focused on. In an expected continuing phase, future employment will be included in this upcoming phase of our project, which will consist of referral bonuses and new incentive models to encourage broader participation. The roadmap also contains periodic migration cycles to guarantee the ongoing work of the user onboarding and consumption of accurate balances.
The Pi network’s tokenomics are 65% based on the total initial supply of 100 billion tokens, of which 35% is designated for community mining rewards. The remaining allocation supports the migration rate and is divided fairly amongst the Network, Foundation, Liquidity Pools, and Core Team.
At the project’s Open Network phase, the controlled migration and token scarcity, in combination, are ready to pave the way for PI’s future market trajectory.
