The question now arises whether the correction has finally ended or that’s just a typical dead cat bounce.
It’s safe to say that the PI token didn’t enjoy the past few months. Aside from a few brief and unsuccessful price pumps, the asset’s overall trend has been extremely bearish, which culminated at the beginning of August.
PI dropped at the end of last week to a new all-time low of under $0.35 only to chart another negative record on August 6 at $0.335 (CoinGecko data). This meant that it had lost roughly 90% of its value since its all-time high at the end of February.
The past day, though, has been highly beneficial for the entire cryptocurrency market. Led by ETH’s impressive performance and surge past $4,000, many altcoins have marked 5-8% gains, while a few, such as Pi Network’s coin, have exploded by double-digits.
As of press time, PI stands at $0.4, which is 20% above the ATL marked just three days ago. While its community rejoices in this notable daily performance, others wonder whether this is a typical dead cat bounce moment, which is something the PI token has certainly done in the past.
Looking ahead, the daily token unlocks are not as scary as they were in July. Data from PiScan shows that there’s only one day in the next month where the number of unlocked coins will near 10 million, while the average is at 5.6 million – a lot less than the 7-8 million average in June and July. This should ease some of the selling pressure on the asset, at least in theory.
If you want to check some of the latest developments and updates around the broader Pi Network ecosystem, you can check this article and this one.
