Although yesterday marked the market’s recovery from the one week of constant downtrends, today the crypto market declined again.

Although yesterday marked the market’s recovery from the one week of constant downtrends, today the crypto market declined again. One of the biggest losses however is attributed to the Pi token which experienced a sharp fall.

Yesterday saw the crypto market recover after a week of constant downtrends, but today the market is experiencing another decline. Among the biggest losses is attributed to the Pi token which experienced a sharp fall. Now analysts have provided their opinion on the recent decline and what awaits the Pi token in the future. With the major support level broken, most predictions seem to be bearish.

Is Pi A Scam? Community Confidence Hit

The excitement around the launch of Pi Network’s mainnet seems to be dying down as the token’s value has fallen again. According to crypto exchange FTX, the Pi price decrease in the last 24 hours has hit 23%, and now it is trading at $0.8998. This most recent Pi token crash, has increased the weekly loss to 43%. Additionally a week ago Pi had the 11th biggest market capitalization among cryptocurrencies, however now it is sitting at 21st.

One of the biggest causes of the market’s current bearish sentiment is the constant delays in the Binance listing. The lack of any official notices from the exchange has created doubts about the future of the Pi token. Another potential catalyst for this massive sell-off could be the increasing worries in the community that Pi is a scam. These doubts have been created because of the lack roadmap related to the progress of the Pi project. This shows a contrast to most credible crypto projects which provide step-by-step updates of the development.

Analyst Reveals Root Cause Behind Pi Decline

Dr.Altcoin a crypto figure who has been following the project closely, published a post addressing these concerns. Based on his statement the Pi Core Team’s failure in communicating with the community has caused these rumors. Additionally, he also acknowledged the lack of transparency form the team as another cause for doubts about the project. However, he mentioned that he has been working on the project for years now. He added that in these years he has not seen reliable evidence that the Pi Network is a scam.

He continued and stressed the need for a better communication system between the Pi team and the community. This crypto analyst has also been actively sharing his opinion on today’s crypto news. Earlier today he published an estimation that $204.75 million worth of Pi has been sold in the last day. He also mentioned that this sell-off is contributing 42.18% of the trading volume, and is caused by panic selling.

In an X post, he also highlighted the clash between the Pi core team and the community’s expectations of Pi.

"As the Pi price heads down towards $0.5/$0.6 from an ATH of around $3, what I see is a Pi community desperately trying to fix personal finance with Pi, while on the other hand, the PCT is focused on fixing global finance. This creates a clear clash in time frames and priorities."

As the Pi price continues to fall, it has broken some essential support lines. These include the $1.4, $1.2, and $1.0 levels that represent important psychological supports. Another crypto analyst, Kripto Bilgi, has presented their analysis mentioning that the next major support now is $0.82. They further predicted that the bearish sentiment is too strong now and Pi price fall will reach $0.30.

Can Pi Network Bounce Back? Key Developments Ahead

There are also some upcoming developments that could change the could possibility flip the market sentiment to bullish. For example, a bullish development is the approval of Pi Exchange Traded Products from the SEC. This could bring renewed interest to the Pi network and its native token. Additionally, the ongoing auction of Pi domains also can bring excitement and investments from new users. However, adding to the doubts and selling pressure from withing the community, there is also macroeconomic pressure. So, it remains to be seen if Pi can reach success in the long term or if it will fail.