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What happened?
The price of Pi Coin has decreased to $0.5472 in anticipation of the release of 337 million PI tokens over the next month. The protocol behind Pi Coin regularly releases new tokens, with the goal of having all 100 billion PI in circulation by July 2028. This upcoming token unlock is significant because the current trading volume is low, which could lead to further downward pressure on the coin’s price.
Who does this affect?
This situation primarily impacts Pi Coin holders and potential investors who are watching the market closely. Those involved in trading or holding Pi Coin may see the value of their investments decrease due to the increased supply. Additionally, the lack of exchange listings such as on Binance and Coinbase limits trading options and could deter new investors.
Why does this matter?
The ongoing release of PI tokens significantly affects the cryptocurrency market by increasing supply more than the current demand. This oversupply could continue to depress the Pi Coin price, potentially decreasing it to $0.40 unless major exchanges list the token. Such a listing would likely boost demand and stabilize prices, but until then, the market faces challenges in managing the excess token supply.
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