Pi Coin, the native token of the Pi Network, has had quite a rollercoaster ride in the cryptocurrency market. On May 13, the token reached a high of $1.70, but within just two days, it experienced a dramatic drop of more than 50%. At the time of writing, Pi Coin is struggling to maintain its value above $0.81. Many experts are now questioning whether it can make a strong comeback, particularly in light of several challenges, including upcoming token unlocks, resistance points, and market sentiment. While there’s hope for a recovery, the road ahead looks uncertain, and experts are divided on whether Pi Coin can reach $2.50 by the end of the year.

The Pi Coin Rollercoaster

Pi Coin’s recent journey highlights the volatility and unpredictable nature of the cryptocurrency market. Following its impressive spike to $1.70, the token rapidly lost momentum, sliding back to its current position around $0.81. In just a few days, Pi Coin’s market capitalization dropped from $9 billion to $6 billion, and its ranking in the cryptocurrency market fell from the top 20 to 29th place. This sharp decline has left investors uneasy and raised concerns about the token’s future trajectory.

Despite the current market struggles, Pi Coin’s project team has announced a $100 million fund aimed at supporting app development within the Pi Network. This move has garnered some hope that app development could bring renewed interest and drive the token’s value higher. However, analysts are cautious about expecting any immediate price increases. Experts believe that unless there is a strong, positive catalyst such as an official listing on major exchanges like Binance or Coinbase, it will be challenging for Pi Coin to climb back to its previous highs of $1.50 or even $1.70 in the short term.

The Road to $2.50

While the immediate future for Pi Coin looks uncertain, there is some optimism for the long term. If the project succeeds in attracting meaningful app development and successfully secures listings on prominent exchanges, some analysts believe Pi Coin could potentially reclaim the $1.50 mark by the end of the month. In a more optimistic scenario, Pi Coin could even target $2.50 by Q4 of 2025.

Technical indicators suggest that Pi Coin may be able to build upward momentum if the right conditions align. Currently, the Relative Strength Index (RSI) stands at 53.55, indicating that Pi Coin is neither oversold nor overbought, suggesting a neutral market sentiment. The Moving Average Convergence Divergence (MACD) indicator, however, is slightly bullish, with a “Buy” signal. This suggests there could be an opportunity for a gradual price increase if the momentum continues in the right direction.

Token Unlocks: A Major Concern

One of the most pressing concerns for Pi Coin holders is the upcoming token unlocks. Data from Piscan reveals that a large number of Pi tokens are set to be unlocked in the coming days, which could put additional downward pressure on the token’s price. On May 16, around 14.6 million Pi tokens are expected to be unlocked, potentially increasing selling activity in the market.

Over the next 30 days, approximately 272.9 million Pi tokens worth $234.6 million will be unlocked. This represents a significant increase in the supply of Pi Coin, which could lead to more selling pressure, especially if demand does not rise accordingly. The largest single unlocking event is expected on May 28, when 15.1 million tokens will be released. This could cause a short-term dip in Pi Coin’s value as market sentiment shifts in response to the increased token supply.

Pi Network’s Move Toward Full Decentralization

On a more positive note, Pi Network has made significant strides toward decentralization. The network recently shut down its central coordinating node, marking a major milestone in its journey toward becoming fully decentralized. This move removes centralized control from the Pi Network and allows it to function in a more open and community-driven manner.

Decentralization could play a significant role in the future demand for Pi Coin, as it enhances the network’s credibility and attractiveness. The impact of this transition on Pi Coin’s price may take time to materialize, as it will depend on factors like network adoption, the development of functional apps on the platform, and broader market conditions.

Conclusion

Pi Coin is at a critical juncture in its journey, and the next few months could prove pivotal for the token’s future. While the project has taken important steps toward decentralization and app development, the market remains volatile. The upcoming token unlocks, coupled with resistance levels, could prevent the token from recovering quickly. However, there is still optimism that if the Pi Network continues to develop and secure listings on major exchanges, Pi Coin could eventually target $2.50 by the end of 2025.

For now, Pi Coin faces several hurdles, but the project’s commitment to decentralization and app development could be key drivers for future growth. Investors and holders will need to remain patient and monitor the token’s progress closely over the coming months. Whether Pi Coin can hit $2.50 in the next few quarters depends on a combination of market conditions, developments within the Pi Network, and broader crypto market trends.