Pi Network Faces "Price Drop Storm": Can the $0.40 Mark Still Hold?

The bullish trend of Pi Network seems to be weakening and may soon fall below $0.40. Despite recent announcements about the growth of the ecosystem and app hosting, experts hint that most positive developments have already been priced in, leaving little support for the current level. The Factors Behind Bearish Outlook

1. The hype around Pi2Day has been fully priced in: The excitement surrounding the Pi2Day event in June, the collaboration with AI, the new merchant listings, and the ecosystem applications have driven market sentiment in the short term. However, these announcements have been driven more by emotion than by actual capital flow, and the impact on price has faded.
2. Large token unlock expected in July: In July, over 276 million PI tokens, accounting for 3.7% of the circulating supply, will be unlocked. No new developments are anticipated in the near future, this increase in available tokens may add selling pressure, prompting cautious behavior or a fall in the market.
3. Short-term bullish trend: Historically, the bullish trend of Pi Network occurs over a short period. Events such as the Mainnet launch and the Pi2Day celebration have caused short-term bullish trends, usually lasting less than a week, before prices return to previous levels. Therefore, professional traders remain hesitant to hold long positions.
4. $0.40 is the main support level: Technical indicators suggest that $0.40 is both an important support level on the chart and a psychological barrier. Dropping below this level could trigger buying interest, creating a triple bottom pattern that may support future recovery. While short-term price forecasts remain pessimistic, Pi Network has recently introduced an update for its platform that could strengthen its ecosystem. The core team announced that they will begin hosting developer applications directly, eliminating the need for external infrastructure such as servers and security systems. This change is expected to lower the barriers for developers, allowing for faster and easier creation of applications that use Pi for payments and transactions. It could help attract more developers to the platform and gradually increase the utility and use cases for the Pi token.