Pi Network rebounded 35% before Pi2Day: Can this rise continue?

Gate news, after weeks of sluggishness and market pressure, the Pi Network (PI) token has seen a significant rise this week, returning to the spotlight of the encryption community. After briefly topping the CoinMarketCap hot currency list, the PI price soared to about $0.66 at its peak, although it has since receded, the overall rise this week still exceeded 7%. This rebound coincides with the highly anticipated annual event Pi2Day (June 28), sparking widespread speculation about the future trend of the Pi Network: is this rebound merely short-term hype, or does it indicate a more sustained pump?

1. V-shaped Rebound: The Pullback After PI Price Soared 35%

At the beginning of this week, the Pi Network Token faced bearish pressure, dropping to a recent low of around $0.47 on June 23. However, the market then experienced a strong reversal. In just three days, the Pi price surged over 35%, reaching a peak of around $0.66 on June 26, displaying a clear V-shaped recovery pattern. This rapid rise highlights the resurgence of investor interest, especially in the context of the approaching Pi2Day.

However, accompanying the rapid rise is profit-taking. Shortly after reaching the peak, the Token price quickly fell back to the $0.55 range. Although this pullback temporarily cooled bullish enthusiasm, the PI Token still maintained a weekly rise, showing that after recent volatility, the market has regained a certain level of resilience.

2. Pi2Day Expectations: Major Catalysts for Driving Price Rise

The rise in Pi prices this week appears to be primarily driven by the growing expectations for the Pi2Day event scheduled for June 28. Pi2Day has become an annual milestone for the Pi community, typically accompanied by project updates or ecosystem announcements. While specific details have yet to be disclosed, speculation is rampant. Traders are looking forward to updates related to the mainnet, enhancements in PI usability, and even broader integrations.

In the past few years, similar expectations have also led to a surge in PI prices, which are often followed by a rebound. This "event-driven" price fluctuation pattern seems to be repeating itself. Pi2Day, as the platform where the core team releases important announcements, undoubtedly serves as the main driving force behind the current market sentiment.

III. Structural Issues and Ongoing Downward Pressure

Despite the rebound this week, Pi Network still faces some unresolved structural issues that could pose challenges to its long-term rise.

Long-term decline: Over the past month, the Pi Token has still fallen more than 26%, indicating that the short-term Rebound has not fully reversed the long-term trend.

KYC and Mainnet Accessibility: The progress of KYC verification and mainnet accessibility has been slow, and it remains a problem that troubles many users. Many early miners received PI for free, but due to the restrictions of the KYC process, they are still unable to freely withdraw or trade their PI. This has led to these early miners tending to sell off during brief rebounds, resulting in ongoing downward pressure.

Limited practical application: Although PI has a large and actively participating community, its progress in practical applications remains limited aside from mobile mining.

Lack of clear fundamentals or major exchange listings: In the absence of clear fundamental support or listings on major exchanges, the ability of the Pi Token to maintain momentum is affected. Its price fluctuations are driven more by speculative sentiment than by sustainable growth.

Conclusion:

The rebound of the Pi Network on the eve of Pi2Day undoubtedly brought a brief excitement to the community. This rise was mainly driven by the anticipation of the upcoming annual event, with the market hoping that Pi2Day would bring significant good news. However, in the absence of clear fundamental support, the KYC and mainnet accessibility issues are not yet fully resolved, and the listing on major exchanges has not yet been achieved, the long-term prospects for the Pi Token still face uncertainty. Investors need to be cautious, as this rebound may be more of a short-term speculative behavior driven by events rather than the beginning of sustainable growth. The specific announcement of Pi2Day will be key to determining whether this rise can be sustained.