Pi Network (PI) Important Signal: 376 million Tokens transferred to the exchange, large-scale dumping may be unavoidable?

Pi Network (PI) briefly returned above 0.5000 USD last Monday, but the long positions sentiment quickly dissipated. Today (14th), it reported 0.4671 USD in the Asian early session. Currently, there are 376 million Pi coins on the exchange, with Gate leading, raising concerns about ongoing dumping.

Pi coin still shows a long-term downward trend

Despite the short-term attempts of the Pi coin to rebound, the overall price trend still shows a long-term downward trend. The Pi coin continues to trade within a downward channel that has remained stable since the recent highs. The current price is rebounding from the key demand area around $0.4400 to $0.4700.

It is worth noting that the current resistance level is around $0.5000. If the Pi coin breaks through this area, it may test higher levels around $0.5486 and $0.6506.

However, the random RSI is currently above 90, indicating that the market is in an overbought state. This may suggest that before further price increases, there will be a short-term pullback or consolidation.

Maintaining support above the demand area of $0.4400 is crucial for the continuation of any bullish trend. Traders are watching whether the stock can continue to close above $0.5000 to confirm a potential trend reversal.

(Source: Trading View)

Exchange activities and token unlocks raise concerns

Cryptocurrency analyst Moon Jeff pointed out that the exchange currently holds 376 million PI coins, of which the deposit wallet of Gate exchange holds 177 million PI coins.

"All these coins come from users in the Pi community who are bringing selling pressure," he said. "If this situation stops, the price of Pi coin can easily rise to 1 dollar."

(Source: X)

The supply of Pi Network continues to grow, with over 246 million Pi coins expected to be unlocked in the next 30 days, including 16.4 million Pi coins unlocked on July 10.

According to reports, the Pi coin has dropped nearly 70% in the past two months. Continuous releases have caused persistent dumping pressure, leading to more holders exiting. If the rate of price increase or demand does not change, a price rebound may still be limited.