Why Pi Coin Is Falling Today: What Triggered The Sudden Sell-Off?

Pi Price Prediction: Is Another Crash Coming or Will PI Recover Soon?

Following the Consensus announcements of 2025, the native token of Pi Network, PI, sharply dipped and lost over 58% of its value from its recent peak of $1.67. Trading at $0.6910 now, this staggeringly fast-paced crash is astonishing the market. The question in everybody's mind is: can PI hold, or will it be declined further to retest the lows of $0.40 in April?

Source: CoinMarketCap

What Triggered the Crash After Pi Network's Parabolic Rise?

Between May 8 and May 13, The altcoin witnessed its market value more than doubling from $4.17 billion to $11.94 billion! Two major announcements were shared during Consensus 2025 — the shutdown of Pi central node and the kickoff of a $100 million Pi Network Ventures fund. These events lifted bullish sentiments temporarily, but the excitement soon began to fizzle. 

By May 17, the market cap had plunged again below $5 billion, showing how flimsy the price surge really was. The downfall had been accelerated by heavy depositing of the token onto another crypto exchange, OKX, where on-chain data showed about 1.2 million tokens transferred and likely to be sold off. This indicated the profit-taking movement employed by early holders, hence furthering the correction in its price.

Whale Activity Hints at Strategic Profit-Taking

One big signal witnessed during the rally was the unprecedented redistribution of tokens among big holders to mention a few. By CoinCarp Wallet data, the concentration of the Top 100 wallets fell drastically from 98.76% as at May 6 to about 3.89% on May 17. On May 13 alone, the top 10 holders owned just 1.31%, while the top 50 held 2.7%.

Such drastic changes are unlikely to have been retail-driven but rather suggest some internal wallet reshufflings or profit-taking measures adopted by early investors and insiders: a bearish sign right up with the parabolic rise and the immediate correction of the token.

Technical Analysis: PI Forms a Blow-Off Top, Now Fighting Key EMAs

The 4-hour chart still shows a classic blow-off top formation with a parabolic rise and swift correction attached to it. Price first broke above $1.60, and since then, it's crashed below the 20, 50, 100, and 200 EMAs, a good sign of the erosion of momentum.

The altcoin currently stands at $0.6974, its strength from above capped by the 20 EMA of $0.8599. Relative Strength Index has dropped to 34.03, which means the asset is headed towards overselling.

Source: TradingView

If the selling pressure continues, the next key psychological support remains at $0.60. A breakdown below here can set the stage for a free fall toward April's low price of $0.40. On the contrary, if the RSI starts recovering and buying interest comes into play, a relief rally toward 100 EMA ($0.8278) or 50 EMA ($0.8599) might be awaiting.

What Needs to Happen for a Bullish Reversal?

The altcoin deemed bullish in the near term, it ought to retain the $0.89–$0.90 zone with concerted buying volumes sweeping in. Here strong technical support can give confidence to newer investors. This recovery phenomenon needs a major catalyst from either Binance or Coinbase listing.

Dr. Altcoin said that the altcoin is set to retest April's bottom at around $0.40 unless good news of an exchange listing or adoption impacts the market. Volume divergence and descending order EMAs add more weight to the bearish scenario.