Pi Network Coin Rugged Its Own Hype After ‘Big’ Reveal Sparks Selloff
By: coinchapter|2025/05/16 19:00:12
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Pi Network coin price is back below the $1 price mark, after a brief sojourn above the level. PI coin price is currently trading near $0.87, days after the token rallied to a multi-week high near $1.7 on May 12. The reversal came as Bitcoin (BTC) price neared the $104,000 mark on May 16, but failed to hold the price mark. Ethereum price showed signs of life as bulls pushed it above the $2,600 threshold, though its ability to hold those levels remains uncertain. Meanwhile, PI coin price’s recent crash came on the back of a much-hyped announcement that did not deliver on any of the speculations surrounding it. While speculation continues to swirl around the network’s future plans, PI coin has failed to benefit from the broader market’s modest recovery. Memecoins and high-beta assets led much of the short-term bounce, while tokens like PI remain largely sidelined. On the macro front, easing U.S. inflation figures have reignited risk appetite across asset classes, with the 10-year Treasury yield slipping below 4.3% and equity markets posting weekly gains. However, Federal Reserve officials, including Chair Jerome Powell, have reaffirmed their cautious stance, signaling that rate cuts remain off the table for now. Meanwhile, global growth projections have weakened, with rising geopolitical risks and persistent trade imbalances tempering optimism. Against this backdrop, traders would likely scrutinize Pi Network’s recent moves closely as market participants look for real signs of traction, not just speculation. Resistance Mounts After Sharp Post-Event Rejection Pi Network’s PI coin price lost key momentum after a sharp rejection on May 14, the day of its highly anticipated announcement. The move left users disappointed, triggering a nearly 37% intraday wick that stalled the recent bullish breakout. PI coin price failed to hold above the 0.618 Fibonacci retracement level, which sits near $0.98. That level now acts as the immediate resistance. Flipping the immediate resistance would target the next barrier near $1.14, near the 0.786 Fib level. Support is visible at the 0.382 Fib level near $0.76. Losing this level could accelerate downside pressure. A stronger floor for the token lies at $0.62, aligning with the 0.236 retracement and April consolidation zone. The daily RSI reads around 54, signaling neutral momentum. However, volume has dropped significantly since the May 14 candle, suggesting fading interest. Bulls failed to defend post-event levels, and sellers regained control quickly. Unless PI reclaims the $0.98–$1.13 resistance band, the structure favors a deeper retracement. The market appears to be pricing in doubt rather than optimism, with the failed breakout creating a local top for now. Short-term recovery remains unlikely without a strong volume spike or external catalyst. Inside the Pi Ventures Announcement and the Community’s Harsh Reaction On May 14, 2025, Pi Network revealed a $100 million ecosystem initiative named Pi Ventures. The fund aims to support startups building real-world applications using Pi Coin. It targets sectors like AI, fintech, gaming, and blockchain to accelerate utility. The initiative draws resources from both USD and Pi tokens, sourced from 10% of the Pi Foundation’s reserves. The Foundation governs Pi’s long-term growth and manages its 100 billion token supply. Pi Ventures complements Pi’s recent Open Network rollout, which enables external developers to integrate Pi across apps and real-world services. The team plans to launch the first funding round in Q3 2025. It will prioritize startups focused on transactional use cases and frictionless user experiences. The Core Team framed the initiative as part of a shift from mining to sustainable utility. They emphasized long-term ecosystem health over speculative gains, reflecting Pi’s self-described “ownerless” structure. However, the community’s reaction was overwhelmingly negative. Many users saw the announcement as a deflection from years of delay. A Pi Coin fan called the update a “letdown,” citing unmet expectations of an exchange listing. Another Pioneer accused the Core Team of ignoring user loyalty and sentiment. A trader described the move as a “ betrayal ” of the 70 million-strong community. The resulting disappointment became a cue for a ‘sell the news’ rally, forcing the Pi Network token plunge. Some users blamed the countdown hype for fueling the price crash. Others questioned the need for a standalone event for this update. Despite frustration, a few users expressed cautious optimism. One supporter viewed the fund as a step toward real adoption. Another planned to accumulate PI at lower prices, betting on long-term outcomes. Still, trust remains fragile as delays and vague communication continue to erode user patience. Whatever the public reaction, the core team essentially rugged its project when it tried to build so much hype for such a measly announcement.
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