The trading volume of Pi Network has dropped by 44% and is currently at $158 million, indicating a drop in investor interest. Earlier this week, Pi Coin fell to $0.40 but regained to approximately $0.60, with a market cap above $4.1 billion.
Although this reflects recovery, on-chain data shows dwindling interest and analysts caution that increasing supply of PI tokens on exchanges could limit price growth, hindering the development of the project’s ecosystem.
Why Is Pi Network Investor Sentiment Down
Investor sentiment towards the Pi Network has waned, with community member Edycabas highlighting the lack of engagement on the platform as a concern.
After several years of the blockchain being hyoed up, it apparently processes transactions at a rate of under one per second, which is significantly lower than the expectations during the Open Mainnet phase discussions.
On the other hand, another member, Dr Altcoin, defended the performance of the network arguing that it has a solid transaction success rate with 99.5% and an average of 20 transactions per block. He claims the true problem is the lack of disclosure coming from the co-founders, which continues to deter major investors and centralized exchanges.
Dr Altcoin also hopes that Pi Coin will someday reach a $10 price tag, claiming it would increase DApp utilization alongside general usage, therefore, the hope for the network’s performance could become a reality. He has also recommended creating a limited supply of tokens to increase the coin’s value.
Pi Coin Core Team Lacks Transparency
Dr. Altcoin has raised issues regarding the vague communication coming from the Pi Network core team, asking that the co-founders Kokkalis and Chengdiao Fan interface more freely with the community and investors.
He criticized their lack of public interviews over the years and noted that members of the Pi community have really kept the project alive for far too long, and so deserves better communication.
In Dr. Altcoin’s view, the absence of action to proactively showcase the value of the project could result in the Pi Coin diving under the $0.30 mark within the next week. He also noticed that around 134 million unlocked Pi tokens expected to be circulating each month, there will be heightened activity on centralized exchanges, starting next week.
