Why is Pi Coin Crashing Down Today?

February 21, 2025

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Pi Coin, the cryptocurrency of the Pi Community, has seen a pointy decline in worth after the launch of its extremely anticipated Open mainnet.

On the debut of Pi coin has traded on OKX for roughly round $1.50. Nevertheless, the worth rapidly dropped by over 62%, falling to roughly $0.6655.

Why Is Pi Coin Crashing?

Whereas the hype behind pi coin was loopy, it has not been profitable in making early patrons any cash. For the reason that launch all pi coin has seen is purple candles. lets take a look at the potential causes for that.

1. Early Miners Promoting Their Holdings

One of many essential causes for the worth drop is that early adopters who mined Pi at no cost or at an inexpensive price at the moment are promoting their holdings in giant portions. Since Pi was not tradable for years, many miners have accrued vital quantities of it. The launch of the open mainnet allowed them to lastly money out, growing provide and driving costs down.

2. Lack of Main Change Listings

Platforms like OKX and Bitget have listed the Pi Coin, however it isn’t but out there on top-tier exchanges like Binance or Coinbase. Pi Coin has not been listed on Binance as a result of it has but to satisfy the alternate’s itemizing standards.

This limits its visibility, reduces liquidity, and discourages new buyers from coming into the market. With out robust alternate assist, Pi struggles to draw large-scale buying and selling exercise.

Earlier than the open mainnet launch, Pi IOUs (futures contracts on Pi Coin) had been buying and selling at extremely inflated costs—some reaching $200 on BitMart. Many buyers anticipated the actual market worth to be related, resulting in unrealistic expectations. Nevertheless, as soon as precise buying and selling started, the worth rapidly adjusted to extra sustainable ranges, disappointing buyers who had purchased in at larger costs.

4. Restricted Actual-World Use Instances

Pi Community has a big consumer base, nonetheless the ecosystem continues to be in its early phases. There are few decentralized functions (dApps) constructed on Pi, and it has not but established robust use instances past peer-to-peer transactions. With out main uptake in funds, gaming, or DeFi, Pi demand stays low.

What’s Subsequent for Pi Coin?

Demand might rise if Pi Community will get main alternate listings, grows its ecosystem, and will increase utility. Nevertheless, persevering with sell-offs by early miners, together with a scarcity of sturdy demand, might drive costs a lot decrease. To foretell future efficiency, buyers ought to monitor tendencies in alternate listings and challenge collaborations.