PI Network IOU Price Volatility: 85% Crash– Is It Next Libra?

Pi Coin Price Crash 85% Ahead of Mainnet Launch – What Next for Pi?

Pi Coin's Tumultuous Journey to Mainnet

After six years in development, Pi Network is finally launching its highly anticipated mainnet today at 8 AM UTC (1:30 PM IST). However, the excitement is overshadowed by extreme price volatility. Pi Coin's IOU price surged to $200 on February 17, only to plummet by 85%, now trading around $30. This sharp decline has raised concerns that Pi could follow in the footsteps of failed projects like Libra Coin and CAR Coin.

Early Miners Poised to Flood the Market

A key threat to Pi Coin’s price stability comes from early adopters. These users mined Pi at no cost, accumulating large amounts of tokens. With real liquidity now available through the mainnet, many are expected to sell, cashing in on their holdings. If enough early miners decide to offload simultaneously, the market could face an overwhelming supply, pushing prices even lower.

Technical Indicators Suggest Further Decline

Pi Coin has recently broken below a critical support level at $40, signaling technical weakness. The Relative Strength Index (RSI) also revealed that Pi was in overbought territory before its sharp decline. Such signals often precede continued downturns. With Pi now hovering around $30, a drop below this psychological level could trigger a fall to $17 or lower.

Source: TradingView

The Airdrop Effect: A Common Pitfall

Cryptocurrencies launched through airdrops or free mining frequently experience sharp post-launch sell-offs. Pi Coin could follow this pattern as recipients rush to liquidate their free tokens. Similar cases, such as Catizen, X Empire, Dogs, And Cats, and Hamster Kombat, saw steep declines post-launch. Without significant buying pressure, Pi Coin's price could spiral further.

Is Pi Coin Another Pump-and-Dump?

Investors fear Pi Coin might mirror projects like Libra Coin and CAR Coin, which collapsed soon after launch. Libra Coin, hyped by Argentina's President Javier Milei, crashed 95% within hours. CAR Coin saw a similar fate, dropping from $0.90 to $0.30. With Pi Coin’s rapid decline, concerns about a pump-and-dump scheme are mounting.

Source: TradingView

PI Coin Price Prediction: What’s Next for Pi Token?

Currently trading at $30, Pi Coin faces a crucial juncture. If early miners continue to sell and technical weakness persists, a break below $30 could see Pi plunge to $17. However, if Pi Network successfully builds real-world utility and investor confidence, the token could stabilize above $30 in the short term.

Final Thoughts

Pi Coin’s future hangs in the balance as the mainnet launches. With significant selling pressure from early adopters and weak technical indicators, the token faces potential further declines. Investors should remain cautious and watch for key support levels before making any moves