TLDR
- Pi Network price plunged 14% to $0.68, shocking investors after trading around $0.74
- Analysts warn Pi Core Team to improve transparency or risk Mantra-like collapse
- Community concerns include lack of exchange listings and concentrated token ownership
- Technical analysis shows Pi entering a demand zone that could precede a trend reversal
- Experts predict price could drop 55% unless team addresses supply strategy and transparency issues
Pi Network, the cryptocurrency project with a reported user base approaching 60 million, is facing intense scrutiny following a sharp price decline. The drop comes in the wake of the Mantra (OM) collapse, which wiped out over $5.5 billion in market value within an hour. Crypto analysts are now sounding alarm bells about Pi’s transparency and token distribution model.
The Pi coin price currently stands at $0.68, down 14% from its previous trading range around $0.74. This sharp decline has left many investors concerned about the project’s future.
The recent Mantra disaster has created ripple effects across the cryptocurrency ecosystem. As Pi Network prepares for its transition to Open Mainnet, experts are warning that similar issues could affect the project if not addressed promptly.
Crypto analyst Dr Altcoin didn’t mince words in a recent tweet, stating, “The OM incident is a wake-up call for the entire crypto industry, proof that stricter regulations are urgently needed. It also serves as a huge lesson for the Pi Core Team as we transition from the Open Network to the Open Mainnet.”
The $OM incident is a wake-up call for the entire crypto industry—proof that stricter regulations are urgently needed. It also serves as a HUGE lesson for the Pi Core Team as we transition from the Open Network to the Open Mainnet. @PiCoreTeam @nkokkalis @Chengdiao pic.twitter.com/zBN4LSsONN
— Dr Altcoin (@Dr_Picoin) April 14, 2025
Community Concerns Growing
The Pi Network community appears divided over the project’s future. Supporters point to the project’s slow token release mechanism, growing utility through applications like .pi domains, and its massive user base as strengths that could help it avoid Mantra’s fate.
However, critics highlight several issues that need urgent attention. The lack of transparency has prevented Pi from securing listings on major exchanges like Binance and Coinbase.
These top-tier exchanges require access to an auditable mainnet before listing tokens. Without this transparency, Pi remains limited in its reach despite its large community.
The tokenomics of Pi have also raised eyebrows within the community. Data from Pi Explorer reveals that the top three wallets belong to the Pi Core Team and hold more than 67 billion PI tokens – over half of the maximum supply of 100 billion.
This concentration of tokens has fueled concerns about potential price manipulation and centralization. For a project that promotes itself as community-driven, this token distribution appears at odds with its stated values.
Technical Analysis Points to Crucial Support Levels
The recent price action shows Pi has entered a major demand zone after its 14% drop. Looking at past trends, each drop to this level has typically been followed by increased buying volumes.
The Relative Strength Index (RSI) plunged to an oversold level of 28, potentially signaling a trend reversal. The last time Pi Network was this oversold, the price bounced by 99% within hours.
Pi faced stiff resistance at $0.7588 before its decline. It established support at $0.7306 but later broke through this level dramatically when a death cross formed on the MACD indicator. This technical event triggered the sharp drop to $0.6327.
Since the initial crash, Pi has corrected upward to its current level of $0.68. Analysts suggest that if further downward movement occurs, $0.66 will be a key level to hold.
Supply Concerns Could Drive Further Decline
One crypto expert has warned that Pi Network price could crash by as much as 55% in the coming weeks, citing two key reasons for this pessimistic outlook.
First, the rising supply of tokens on exchanges creates downward pressure on price. According to Pi’s tokenomics, over 1.5 billion tokens will be released this year alone.
Basic economics suggests that when supply increases without a corresponding rise in demand, prices fall. In Pi Network’s case, the supply comes from both token unlocks and pioneers who have been mining Pi for years.
The second concern is demand. Pi Network’s demand remains relatively low because many investors cannot access it due to its absence from popular exchanges like Coinbase and Binance.
The analyst suggests that unless the team changes its supply strategy, perhaps by introducing a token burning mechanism, the Pi coin price will continue to decline. A burn would move coins to an inaccessible wallet, effectively reducing circulating supply.
For Pi Network to avoid a Mantra-like collapse, the team must address these transparency concerns quickly. If they can improve their communication, adjust tokenomics, and secure listings on major exchanges, analysts believe Pi could potentially reach new all-time highs.
