The recent decline in Pi Network (PI) price has raised questions among investors and developers alike, especially as the token faces heightened volatility amid structural changes in supply dynamics. As PI transitions through critical phases of its ecosystem rollout, both network-level events and on-chain activity are exerting measurable influence on its market behaviour. These shifts reflect broader challenges in maintaining equilibrium between circulating supply and demand, particularly within a network that is still maturing toward its open mainnet and full token utility.
Currently, the PI price is trading around $0.4561 and has been maintaining a steep descending trend. So what’s driving the PI price lower?
Major Token Unlocks Fueling the Selling Pressure
The most critical factor behind Pi’s decline is the massive token unlock currently in progress. Between June 28 and July 15, 2025, over 337 million PI tokens are scheduled for release into the market.
Notably, July 4 saw the largest daily release—over 19 million PI, roughly $10 million worth. As these newly unlocked tokens flood the market, many holders are rushing to sell, leading to oversupply and downward pressure on price. However, it has to be noted that this unlock is the largest until 2027, marking it a pivotal month for Pi holders.
On-Chain Hints Insider Activity
On-chain data shows a concerning trend: large wallets—including those possibly linked to the Pi Core Team—have moved millions of PI to exchanges like OKX and Gate.io. While official explanations remain unclear, this suggests potential insider selling, triggering distrust and speculative exits by retail holders.
At the same time, exchange inflows have spiked, further confirming increased sell-side liquidity. This, along with the token unlock, is expected to offer enough upward pressure, keeping the price restricted below the range.
What’s Next for PI Price Rally as Market Sentiment Turns Bearish
Community sentiment has taken a hit. Despite years of promises, Pi remains unlisted on major exchanges like Binance and Coinbase, which limits accessibility and investor confidence. Meanwhile, hype events like Pi2Day also failed to generate expected price rallies, and real-world use cases are still in early stages. Meanwhile, the technicals have also turned bearish, which hints towards a further downside possibility.
The historical chart of PI does not point towards a rebound shortly, and hence, despite a small rise, the bears tend to extract profit in no time. The above chart shows the PI price being stuck within a falling wedge and could be very near the apex. The Bollinger bands are going parallel, hinting at a drop in the volatility, while the RSI has also bottomed out, suggesting a potential reversal soon. However, the momentum is weak, and hence if the Pi price breaks lower, then it may visit the support levels around $0.35.
On the other hand, the trend may remain under bearish influence until the PI price does not clear the resistance at $0.47.
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