Pi Network Faces Scrutiny Following Mantra’s 90% Price Drop
The recent collapse of Mantra (OM) has raised concerns within the crypto community. The price of OM fell from $6.32 to $0.57, a decline exceeding 90%, resulting in a $6 billion market loss in one day. This drop was attributed to mass liquidations, although some suspect an intentional dump.
Crypto analyst Dr Altcoin emphasized the need for strong infrastructure and safeguards to prevent similar issues for Pi Coin. Concerns have been voiced regarding the lack of transparency from the PiCoreTeam, including unclear token-locking mechanisms and delays in Know Your Business (KYB) approvals. These delays led to PiDaoSwap launching NFTs on the Binance Chain, undermining community trust.
Investor sentiment towards Pi Coin is deteriorating. Podcaster Don Ranalli noted that the community feels the network lacks innovation and that the PI token is currently facing bearish sentiment.
Despite this, PI has increased by 27% over the past week, trading around $0.74 and encountering resistance at $0.75. Analyst Moon Jeff believes a long-term rise to $5 is possible, though it may take weeks or months to achieve. He also mentioned immediate resistance at $3.
Pi Price Analysis
- The RSI on the 4-hour PI price chart is at 61, indicating potential bullish momentum.
- Bollinger Bands are narrowing, suggesting a consolidation phase; current price is near the middle band at $0.7365.
- A breakout above this level could lead to a retest of $0.7895, while a drop below $0.7365 might see the price fall to $0.6834.
- The MACD indicates lingering bearish momentum but hints at a potential bullish crossover if volume increases.
PI 4-hour chart | Source: Trading View
PI 4-hour chart | Source: Trading View