Is Pi Coin Bearish? Analysis Based on Recent On-Chain Data and Market Events

Pi Coin has recently come under intensified scrutiny following a sharp decline in price and a cascade of on-chain developments that have unnerved investors. 

With aggressive token unlocks and heightened volatility, the market is questioning whether Pi Coin is entering a sustained bearish phase — or if this is merely a temporary correction in a larger growth narrative.

Pi Coin Bearish: A Price Plunge Triggered by Token Unlocks

In early May 2025, Pi Coin experienced a significant drop in value, falling nearly 30% from around $1.40 to $1.10. This decline was directly linked to the unlocking of 8 million previously inaccessible tokens, which flooded the market and triggered widespread selling. 

The increased supply, unaccompanied by matching demand, introduced heavy downward pressure — a classic case of dilution at play in a token economy.

The market’s reaction was immediate. Trading volume surged to an estimated $1.63 billion, a spike that reflected panic-driven liquidity and profit-taking maneuvers, particularly from whales and early miners. 

Notably, many large holders chose to exit or reduce their positions, compounding the volatility and exacerbating the decline.

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$PI: Additional Supply Incoming

While the market is still digesting the impact of the 8 million-token unlock, an even larger event looms. On May 15, an additional 13 million tokens are set to be released. 

If the same pattern holds — with whales offloading positions into thin order books — Pi Coin may be at risk of further downside pressure.

The tokenomics model, which includes staggered daily releases of 1.5 million tokens and a projected monthly unlock of over 120 million in some cases, has alarmed analysts. 

Without a robust, simultaneous uptick in demand, the balance between circulating supply and active buyers appears increasingly unstable.

Read more: Pi Coin's Marketcap Surge as Pi Network Gains Momentum!

Waning Investor Confidence and Core Team Silence

Compounding the issue is a marked deterioration in community sentiment. Once a cornerstone of the Pi Network’s grassroots momentum, the community is now grappling with disillusionment over delays, a perceived lack of transparency, and missing exchange listings. 

Many anticipated a major listing — such as Binance — that has yet to materialize, leaving holders frustrated and cautious.

Critics have pointed to the Core Team’s limited communication, citing a lack of roadmap clarity and actionable updates. 

A scheduled announcement on May 14 now carries significant weight, as investors wait for guidance, reassurance, or strategic direction that could recalibrate market sentiment.

Read more: Pi Network News: Announcement regarding Pi Network Ecosystem

External Market Pressures Add to the Weight

The broader macroeconomic climate has not helped. Global crypto markets remain volatile amid interest rate uncertainty and cautious investor behavior. 

In this climate, illiquid or speculative assets like Pi Coin are often the first to be offloaded in favor of more stable, higher-cap utility tokens.

Additionally, technical concerns — including incomplete migration, unverified token burns, and inconsistencies in Pi’s tokenomics — have started to raise red flags, particularly among institutional and mid-tier retail investors seeking long-term fundamentals.

Conclusion

As it stands, Pi Coin is exhibiting clear bearish characteristics: aggressive token unlocks, significant whale exits, delayed exchange traction, and a visible erosion in investor trust. 

These dynamics, taken together, have created a headwind that could intensify following the next major unlock unless offset by decisive positive developments.

Still, in the volatile world of early-stage crypto projects, sentiment can pivot quickly. A well-timed product update, major listing, or tokenomics revision could shift momentum. 

For now, however, Pi Coin’s trajectory is cautious at best — and structurally bearish in the short term.

Read more about PI Coin:

Why Did Pi Coin Surge? Unpacking the Rally and What Lies Ahead

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Pi Coin News, Updates, and Price Prediction | Bitrue Pi Coin Official Site

Pi Network News Update: How the Pi Wallet Can Bring New Sentiments to the PI Coin

FAQ

1. Why did Pi Coin drop nearly 30% recently?

The decline followed the unlocking of 8 million tokens, significantly increasing circulating supply and triggering aggressive sell-offs by large holders.

2. What is the significance of the upcoming May 15 token unlock?

An additional 13 million tokens are scheduled to be released. This may place more downward pressure on Pi Coin’s price if market demand remains weak.

3. How are whale activities impacting Pi Coin’s price?

Whales, particularly early miners, have been selling newly unlocked tokens, adding to the supply and intensifying the bearish momentum.

4. Could the Pi Coin price recover soon?

Recovery is possible but would require strong catalysts — such as major exchange listings, core team announcements, or clear roadmap improvements.

5. Is Pi Coin still worth holding during this bearish phase?

This depends on individual risk tolerance. Long-term holders may see current prices as an accumulation opportunity, while short-term traders may choose to stay sidelined until after the May 15 unlock and May 14 update.