Pi Coin Price Plummets 98% in Sudden Market Crash

The Pi Network's coin price recently plummeted over 98%, sparking concerns among users. The cause remains unclear, with speculation pointing to possible market manipulation or internal issues within the testnet platform. Despite the price drop, Pi Network's marketing campaign remains active, highlighting the ongoing debate surrounding the token's value and the absence of a definite open mainnet launch date.

Pi Coin Price Plunges 98% in Sudden Downturn

NOIDA, India (CoinChapter.com) – The Pi Network community has been thrown into disarray following a precipitous drop in the price of its native token, PI Coin. In a matter of days, the value of PI Coin has plummeted by over 98%, from a high of nearly $40 in early April to a mere $0.6 on April 4th.

The downturn did not subside there, with PI Coin's price reaching a low of $0.18 on April 5th before stabilizing around $0.2. A brief uptrend briefly pushed the token's value to $0.34 on April 8th, but the relief was short-lived.

Curiously, the dramatic price drop appears limited to a few exchanges and CoinMarketCap. This has led to speculation that the plunge may be an anomaly or even a malicious act.

Factors Contributing to the Price Collapse

Such extreme price declines in cryptocurrencies are typically indicative of malicious activity or manipulating market forces. In the case of PI Coin, the sudden drop has raised suspicions of a potential rug pull, a scenario in which developers abruptly abandon a project, leaving investors with worthless tokens.

The Pi Network is currently in a testnet phase, despite repeated promises of an open mainnet launch. This has led many users to question the legitimacy of the platform, despite aggressive marketing efforts by the Pi Network team.

Supporters of PI Coin argue that the tokens traded on exchanges are not genuine PI tokens and should not be trusted. While this argument holds some validity, it does not explain why many users continue to buy and sell these tokens.

Role of Exchanges and CoinMarketCap

A further complication is that the PI Coins traded on exchanges like HTX and BitMart are IOUs, meaning that traders are essentially exchanging promissory notes rather than the actual token itself. This suggests that the entire PI Coin market is currently based on speculation.

It is possible that the crash in PI Coin's price was triggered by CoinMarketCap's listing of a project with a ticker similar to Pi Network. However, it is unusual for a charting website of CoinMarketCap's stature to fail to correct such an error for an extended period.

Hopium Remains High

Despite the unresolved price concerns, the Pi Network shilling campaign continues unabated. There has been no official communication from the Pi Network team, but the official Pi Network X account is actively promoting the results of its recent hackathon.

Another handle linked to the Pi Network, known as 'PiBridge,' claims that PI Coin prices on its platform have remained stable around $0.4. The PiBridge team contends that the tokens on its platform are not IOUs but "native PI," allowing users to deposit and withdraw PI to and from their mainnet wallets.

If accurate, this suggests that the PiBridge team values PI Coin at approximately $0.4. Other Pi Network-related accounts continue to promote the token and speculate that it could reach dizzying heights of $314,159 after the mainnet launch.

Cautious Interpretation

While the Pi Network team and its supporters maintain a bullish stance, it is essential to approach the situation with caution. The lack of an open mainnet launch, the proliferation of IOUs, and the sudden price collapse raise significant concerns about the project's legitimacy.

Investors should be aware of the risks associated with investing in PI Coin and carefully consider the potential for further losses. It is advisable for individuals to conduct thorough research and due diligence before making any investment decisions.