TLDR
- Pi Coin price reversed sharply after the mainnet event, showing market disappointment.
- Despite high expectations, the mainnet launch did not trigger immediate economic activity.
- Pi Network’s price failed to stay above $0.20 resistance level after the event.
- Traders are waiting for organic demand before Pi Coin can recover from the price drop.
The Pi Network’s long-awaited mainnet event went live, yet the expected price surge for Pi Coin failed to materialize. Instead of continuing its upward momentum, the token experienced a sharp decline after the event. Market participants had built up expectations for a significant spike in activity following the migration of users and expansion of network capabilities. However, the event itself did not deliver the immediate results many had hoped for.
The broader crypto market’s cooling also played a role in Pi Coin’s price behavior. As investors reduced their exposure to speculative assets, Pi Coin, which had been rallying in anticipation of the mainnet, faced a significant reversal. The shift in market sentiment, combined with the absence of immediate liquidity and demand, caused the coin’s price to drop sharply after the event’s completion.
The Gap Between Expectations and Reality
The mainnet launch was expected to expand Pi Network’s real-world utility. The migration to an open network, alongside improved wallet usability and transaction capabilities, were believed to be key drivers for increasing activity and supporting the token’s valuation.
However, instead of an instant surge in economic activity, adoption appeared slow. There was no immediate acceleration in trading volumes or liquidity, which contributed to the negative market reaction.
The lack of immediate demand for Pi Coin led to a supply imbalance. As a result, many traders who had accumulated Pi Coin in anticipation of the mainnet launch began to close their positions into the rally. This sell-the-news behavior triggered the sharp price decline.
While the mainnet did confirm the network’s transition to a more functional system, the market had priced in much of the potential success prior to the launch. When that success didn’t arrive right away, Pi Coin’s price saw a significant drop.
Resistance at Key Price Level
Following the mainnet event, Pi Coin struggled to maintain its position above the $0.20 resistance level. This level had been tested during the peak optimism around the launch but ultimately failed to hold.
The token’s inability to sustain its price above $0.20 led to a rapid decline of about 10% in a single day. Such a sharp rejection at this key resistance level suggests a phase of distribution in the market, with sellers taking control following the failed attempt to break out.
The rejection near the $0.20 level now positions it as a confirmed resistance. As the token stabilizes beneath this level, it faces a critical test. Buyers will need to prove that demand exists around the $0.1600-$0.1700 range to push the price back above $0.20. Until then, Pi Coin may remain range-bound, with little to drive the price beyond the current resistance levels.
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