Pi Network Price Plunges Amid Token Unlock Fears and Market Apathy

Pi Network Price Plunges Amid Token Unlock Fears and Market Apathy

The Pi Network token has extended its sharp decline as investor sentiment continues to sour. PI has dropped to a low of $0.7012 — its weakest level since February 25 — marking a staggering 76% collapse from its all-time high. This brutal sell-off has erased over $14 billion in market capitalization, down from nearly $20 billion to just $4.76 billion.

At the heart of this downturn lies growing anxiety around upcoming token unlocks. According to data from PiScan, more than 124 million PI tokens are scheduled to be released into circulation this month alone. That number will rise steadily, with unlocks expected to peak at 233 million in July. In total, over 1.53 billion tokens will be unlocked over the next year, expanding the circulating supply to 8.2 billion.

This flood of new tokens positions Pi Network as one of the most inflationary digital assets in the market today. The network’s maximum supply is capped at 100 billion, yet over 6.7 billion coins are already in circulation — and that number is accelerating fast.

Token unlocks naturally create downward pressure by increasing available supply. Some blockchain projects mitigate this inflationary impact through token burns, permanently removing coins from circulation. However, Pi Network has yet to commit to such a mechanism. There is speculation that unclaimed tokens not migrated to the mainnet by the June deadline could be burned. Another option might involve incinerating a portion of ecosystem fees.

The community hopes for clarification during Pi’s upcoming first X Space event, where co-founder Nicolas Kokkalis is expected to unveil a new roadmap and discuss future ecosystem developments.

Compounding the issue, Pi Network continues to face a lack of visibility on major exchanges. Since its February mainnet debut, no tier-1 exchanges have listed the token, significantly dampening liquidity and limiting its upside potential.

Technical Outlook

From a technical standpoint, the four-hour chart paints a bearish picture. PI remains locked below the 50-period moving average, reinforcing the current seller dominance. However, there is a sliver of optimism: price action has carved out a falling wedge pattern, a classic formation often preceding bullish reversals.

With the two trendlines nearing convergence, the stage could be set for a bounce — potentially pushing PI back toward the $1 psychological resistance. For that to happen, though, the project would likely need a strong catalyst — such as a long-awaited major exchange listing — to reignite investor confidence.