Will PI Coin Stabilize at $0.60 as Core PCE Is Expected to Hold Steady?

Key Insights

• Pi Coin drops 3.5% as over 272M tokens set to unlock in June, raising supply-side fears.
• Technical charts point to $0.60 as final support; break below could confirm bearish trend.
• Core PCE data expected to stay at 2.5%; macro sentiment may shift depending on Fed outlook.

With a sharp drop and upcoming token unlocks, Pi Coin is being hammered by renewed selling pressure as it trades near $0.68. The broader crypto market is also cautious ahead of the U.S. Core PCE inflation report, which could impact short-term risk sentiment.

The supply side concerns are growing as over 272 million Pi tokens are set to be released in June alone. $0.60 is critical support according to technical indicators, and a break below that could lead to deeper losses as macro uncertainty mounts.

Heavy Unlock Schedule Increases Downside Risk for Pi Coin

Pi Coin traded near $0.68 on Friday, falling over 3.5% intraday as aggressive token unlocks weighed heavily on investor sentiment. According to PiScan Pi Network is expected to release over 272 million tokens in June, which at current market prices would be worth about $185.6 million.

The steep increase in circulating supply will continue in July and August, which will add 233 million and 132 million coins, respectively.

This persistent unlock pressure is occurring at a time of weakening demand and low exchange activity, which is a fragile price environment.

The lack of access and liquidity is because major platforms have yet to list Pi Coin, which means that the asset is not available on the same large-cap tokens. This means new supply is coming into a constrained market with few new buyers, which exacerbates downside risks.

Meanwhile, speculative tokens are also feeling broader market pressure as traders move on to macroeconomic indicators. Friday’s U.S. Core PCE inflation report is likely to set the short-term direction for risk assets. If inflation does surprise to the upside, Pi Coin will have an even tougher road to stability.

Pi Coin Technical Indicators Point to $0.60 as Critical Support

On its 4-hour chart, Pi Coin is clearly in a downward pattern from recent highs of $0.79 to its current level near $0.68.

Now price action is approaching the $0.60 support, which has served as a key floor in recent weeks. A break below this level could see a bearish continuation and deeper selling pressure.

All price lines are trading below the baseline, with the Ichimoku Cloud currently red, which is a sustained bearish setup.

Additionally, the Aroon Oscillator is -100, indicating no recent uptrend and that downside momentum is still intact. This view is also supported by MACD, which shows the MACD and signal lines trending down and the histogram increasing bearish volume.

Stiff resistance is still in place around $0.72, where the cloud starts and bulls will need to take back this level to change sentiment.

For now, the market is still on the side of further declines, especially under the weight of token unlocks and a wary macro outlook. $0.60 may not hold unless buyers come in soon.

Inflation Data and Fed Outlook Keep Market on Edge

The U.S. Core PCE Price Index, a key inflation metric, is due out later Friday, and market participants are watching closely.

The year-over-year figure is expected to be down slightly to 2.5% from 2.6% and up 0.1% month over month. The Federal Reserve looks at these figures when adjusting interest rate policy.

A cooler-than-expected print could revive hopes for a possible rate cut in September, which could boost risk appetite in general. But if inflation proves sticky, Fed officials are unlikely to be in a hurry to change policy rates. This would keep the liquidity tight, especially for speculative assets like Pi Coin.

TD Securities expects a soft PCE reading, with just a 0.06% monthly increase. This may be temporary relief, but the crypto market is still susceptible to wider volatility. Bitcoin options worth $9.79 billion and ETH options worth $1.62 billion are set to expire, adding further directional uncertainty with over 93,000 BTC options and 624,000 ETH options.

Bitcoinis trading at $105,898, down 2.71%, while Ethereum is near $2,621, down almost 4%. The Crypto Fear and Greed Index, meanwhile, reads 60 or ‘Greed,’ but sentiment remains fragile before the PCE data. If the report matches forecasts, Pi Coin could get a short-term lift, but selling pressure from unlocks could keep gains in check.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.