Pi Network Risks Falling Behind Crypto Bull Market Amid Insider Activity
The Pi Network token is showing signs of weakness despite a broader crypto market rally, with growing concerns about insider sales, token release schedules, and centralized control casting a shadow over its prospects.
As of Thursday, Pi Network was trading at $0.8100, pulling back from a weekly high of $0.8610. The token has lost significant ground—about 51% below this month’s peak and down 73% from its all-time high.
This decline contrasts sharply with the broader market. Bitcoin has recently surged to a new all-time high, and numerous altcoins are experiencing substantial gains. The downtrend in Pi Coin comes despite the recent announcement of Pi Network Ventures, a $100 million investment initiative aimed at supporting startups within the Pi ecosystem.
Despite this positive development, lingering issues remain unaddressed. These include limited exchange listings, regular token unlocks that increase supply, and an overall lack of decentralization in the network’s architecture.
A major source of criticism is the alleged sale of Pi tokens by the Pi Foundation without sufficient transparency. Blockchain analyst Dr. Altcoin recently flagged on X (formerly Twitter) that the Foundation had generated over 22,000 wallets holding a combined 92 billion tokens.
He pointed to a recent transaction in which 1.4 million tokens were moved from an older wallet to a new one, later sold on Gate.io, one of the few platforms where Pi Coin is currently tradable. Additional suspicious transfers have reportedly been identified using the blockchain tracking tool PiScan.
In terms of supply, daily token releases continue to flood the market. This month alone, 110 million tokens are expected to be unlocked, followed by 254 million in June and 233 million in July. Altogether, more than 1.5 billion tokens could be introduced over the next year, further impacting the token’s price if demand does not keep pace.
The concentration of Pi tokens in wallets controlled by the Pi Foundation—allegedly over 90 billion tokens—has also raised red flags. Such centralization can pose significant risks, particularly if any vulnerabilities within the network are exploited.
Chart analysis on the four-hour time frame suggests that Pi Coin may be setting up for another drop. The token has declined from $1.6692 last week to $0.8180, forming what appears to be a bearish flag—a technical pattern often signaling further downside.
If the current pattern holds, Pi Coin could breach the $0.6585 support level, which marked the May 17 low. A move below that could open the door to further declines, with $0.5545 (the April 29 low) as the next major support area.
