Pi Coin (PI) price is at risk of a big drop as investors move 2 million tokens to exchanges

This is a signal that investors are moving them from their self-custody wallets and selling them and that demand for the coin remains limited.

On-chain data shows that investors are moving Pi (MI:PI) coins en-masse to exchanges, an action that usually precedes selling pressure and lack of demand.

In the past 24 hours, investors have moved 4 million coins into OKX, while withdrawals stand at 3.2 million, bringing the net flow to 829k.

The netflow to Bitget was 221,890 coins, and on Gate was 338,468. Only MEXC had net outflows in the past 24 hours. Altogether, the total inflows into exchanges stand at over 1.3 million.

Despite a 6% increase in the last week, the token trades at $0.7715, down by over 53% from its highest level this month, making it one of the worst-performing major coins.

Earlier this month, Pi Coin reached highs of $3 before quickly dropping to $0.60 on the same day. After 34 days, it went back up to $3, which caused many to sell as early buyers rushed to recover their investments. Many opinion leaders also stated that $3 is a good price to get out of the coin, which had already lost more than 80% from its all-time highs.

At present, the key price levels to watch on the upside are $0.94, $1.20, and $1.66, which will act as immediate resistance. If the price can break above these levels, then the next short-term bullish goal will be $3.00. On the downside, the main level of support to keep an eye on is $0.65. If the price goes below this level, then it could open the door for even bigger drops in the future.

Three more unlocks in May are expected to add pressure to the price

Adding to the concern, the price of Pi Coin may keep going down this week since more coins will be released. Today, 9.9 million coins will be unlocked.

Over the next three days, 12 million, 15.2 million, and 13.2 million will be unlocked.

This week, more than 72 million coins, valued at over $50 million, will go live. In the next 30 days, another 280 million coins will also go live.

This unlock trend will last for a while since there are already 11.1 billion in circulation. The total supply is 100 billion. If there isn’t enough demand on the other side, then these unlocks could exert pressure on the price.

However, while the price action may be lackluster, the Pi Network community is quickly expanding.

According to analyst Kim Wong, there are now more than 100 decentralized applications (DApps) based on Pi. Some live on the Mainnet, some are being tested, and others are still under development.

In addition, a $100 million Venture Fund was just launched to further support the growth of the Pi community.

As more apps launch and reach users around the world, the long-term adoption of Pi continues to look promising.

Presently, the network boasts over 70 million users worldwide. It also has 4.3 million followers on Twitter and 20 million users who have undergone KYC verification. Several exchanges have listed Pi Coin, and it currently holds the 26th spot among all crypto tokens by market cap.