- Pi Network Faces Price Pressure Amid KYC Delays: What’s Next for Pi Coin?
Pi Network, a cryptocurrency that has drawn significant attention in the digital asset space, is currently facing a downturn in its price. Pi Coin, the native token of the network, recently experienced a substantial drop from its November peak, retreating to approximately $48.63 — a 50% decrease. This decline is tied to the network’s ongoing transition to its open mainnet, a crucial development for the project’s future.
KYC Grace Period Extension: A Double-Edged Sword
One of the primary factors contributing to the price dip is the Pi Network developers’ decision to extend the Know Your Customer (KYC) grace period until December 31st. KYC verification is an essential process that ensures only legitimate users, or “pioneers,” are granted access to the mainnet while preventing bots from migrating their tokens.
While this extension offers more pioneers the opportunity to complete KYC verification, it also delays the much-anticipated shift to the open network. Once the mainnet is open, Pi Coin can be traded freely and exchanged for fiat currencies. Currently, Pi Coin’s utility remains limited, as the mainnet is still enclosed. This restricted access hampers the token’s growth potential and puts pressure on its market price.
Pi Network’s Path to an Open Mainnet: Slow but Steady Progress
Despite the current delays, the Pi Network is steadily working toward its open mainnet launch. KYC verification remains the final major hurdle, with the developers aiming for a December 31st deadline. The network is already making strides, with over 27,000 sellers registered and more than 50 mainnet-ready apps. These developments signal promise for Pi Coin’s future utility, but market uncertainty, including shifting US cryptocurrency regulations and the volatility of digital asset prices, could impact the network’s success.
Also Read: Can Pi Network Price Recover to $100 After 52% Drop? Key Support Levels and KYC Delay Impact
Pi Coin Price Analysis: Bearish or Bullish?
Pi Coin’s price chart suggests a bearish outlook in the short term. The coin recently formed a double-top pattern between $91 and $100, followed by a drop below the 50-day Exponential Moving Average (EMA). This points to a possible price drop. Furthermore, the coin has developed a bearish pennant pattern, which could lead to a dip to $37, the lowest swing point from mid-October.
However, a rebound is also possible. If Pi Coin can maintain support above its trendline, it may recover to $65 — the peak from November. A favorable market sentiment and progress on the open mainnet could drive this optimistic scenario.
As Pi Network moves toward its open mainnet, the future of Pi Coin remains uncertain. While the extended KYC grace period may provide more time for users to join, it also delays the token’s ability to be freely traded. Investors should watch closely for updates on the KYC process and broader market factors, as they will play a significant role in determining whether Pi Coin drops to $37 or rebounds to $65.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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