Pi Network Price Volatile After 7.4M $PI Unlock: Recovery Next?
Key Insights:
- 7.4 million $PI tokens are unlocked today, increasing market volatility.
- The largest unlock of the month occurs on April 18th.
- Pi Coin faces resistance at $0.6142 with increased selling pressure.
At present, 7.4 million $PI tokens are being unlocked into circulation. This led to a significant surge in Pi Coin’s market activity. This influx highlighted increased trading and interest surrounding the token.
Compared with before, the Pi Network price has increased by more than 600%. After this release, there will be another large 9.8 million $PI token unlock on April 18th. Given the current price trend of Pi and its previous swings in volatility, these events likely affect the market.
Pi Network Price Volatility Rises Amid Token Unlock Event
Pi Network has gained tons of attention because of its ongoing unlock process. The coming one will provide its total supply of 100 billion tokens over a long period.
Trading in the range of $0.6108 as of press time, Pi Network price was down 8.98% in the last 24 hours. Also, the market cap was $4.2B.
This represented a gain of 16.84% in 24 hours. At press time, the circulating supply of Pi coins was 6.88 billion $PI while the total supply was 100 billion $PI.
The recent Pi Network price drop signaled that market participants were bracing for increased volatility. This development aligns with the ongoing token unlock process.
This meant that the regular supply and demand cannot be maintained, and fluctuations in the price can occur. This is especially true for token unlocks or other events.
Token Unlock Impact on Pi Network’s Circulating Supply
The Pi Network unlock schedule for the next 30 days highlights significant token releases in April and May. These releases are expected to impact the circulating supply and market dynamics of Pi Coin.
The recent unlock of 7.4 million $PI tokens carried an approximate value of $4.91 million. This calculation was based on today’s market price of $0.6108 per token. This release has the reverse impact, increasing the quantity of $PI tokens trading in the market.
Traditionally, token unlocks have been associated with short bursts of selling pressure when token holders try to move their money. This scenario could dampen the Pi Network price in the short term if the demand does not meet the supply influx.
April 16th was a key unlock day within the upcoming 30-day window. On this day, 7.4 million $PI tokens are unlocked, influencing market activity.
Nevertheless, the most critical unlock break happens on April 18th. 9.8 million $PI tokens are set to be unlocked then. The value of this event is roughly $6 million in current prices and could cause further volatility in the price of Pi Coin.
Pi Network Price Facing Consolidation
With the 8.98% drop in the price over the past 24 hours, the price of Pi Coin is feeling downward pressure. Price charts showed Pi testing the key resistance near $0.6142 at current rates.
In the past few days, $PI could not breach and clear the resistance zone, which has functioned repeatedly as a barrier. The charts showed a simple range between $0.60 and $0.65 as Pi coin has been trading in the short term.
Should the Pi Network price exceed the $0.6142 resistance level, the token may retest the $1 resistance.
As of press time, the release of 7.4 million $PI tokens introduces uncertainty in the market. The selling pressure from this unlock could potentially prevent the price from achieving new highs.
As per the volume delta indicator, Pi Coin purchases and selling volume have fluctuated. Holders will likely react to the release of new tokens and changes in price. Also, the recent surge in trading volume suggested that there will be a lot of activity in the market.
Generally, today marks the first in several 7.4 million $PI token unlocks that will continue throughout April and May.
With 9.8 million $PI tokens set to be unlocked on April 18th, Pi Coin will likely face heightened market volatility. This significant release could influence trading dynamics in the coming days.
