Pi Network Completes a Major Milestone, Yet PI’s Price Keeps Bleeding: Details

This isn't an isolated event in Pi Network's development timeline. In recent months, they've been busy with a series of updates, moving from protocol v19.6 through to v20.2, which laid the groundwork for smart contract capabilities. Looking ahead, the Core Team has already flagged the next phase, with migration to protocol v25 slated for completion by June 18th. Beyond core infrastructure, Pi Network is also expanding into the gaming sphere, with a portfolio company, CiDi Games, releasing four new titles: Coin Whack, Fruit Stack, Gemnova, and RainbowCubes, aimed at its 'Pioneers' user base.

Despite these technical advancements, the market performance of PI, Pi Network's native token, has been notably weak. It recently plummeted to a new all-time low of approximately US$0.12, marking a 33% decline within the month and a staggering 96% drop from its peak of US$3 recorded at the start of 2025. This downturn comes amidst a broader bear market and a recent pullback across the crypto landscape. PI's market capitalisation now sits around US$1.3 billion, positioning it as the 58th-largest cryptocurrency by this metric.

Several indicators suggest potential further downward pressure on PI's value. Data reveals a substantial increase in PI coins held on exchanges, surging by over 500,000 units in just 24 hours to a total exceeding 550 million. This spike in exchange balances typically indicates that investors are moving their holdings onto centralised platforms, often a precursor to selling, thereby increasing immediate supply and potential selling pressure. Furthermore, upcoming token unlocks are set to introduce approximately 160 million PI into circulation over the next 30 days. June 11th is highlighted as a significant day, with 16 million coins scheduled for release. While not a guaranteed catalyst for further price depreciation, these unlocks could enable long-term holders to realise their gains or cut losses, adding more supply to the market.

Why it matters for Australian investors

For Australian investors considering or holding PI, this situation presents a complex picture. While the technical upgrades like enhanced infrastructure and smart contract capabilities are positive for the network's long-term viability, they haven't translated into positive price action for the token. This disconnect between development and market performance is a crucial point for investors to understand. Australian investors often look for projects with strong fundamentals, and a robust, evolving network is certainly one aspect.

The plummeting price of PI, particularly its significant drop from its previous high, underscores the inherent volatility and risks associated with lesser-known or experimental cryptocurrency projects. Australian investors are well-versed in the need for due diligence, and this scenario highlights the importance of not just looking at project development but also understanding market dynamics and potential selling pressures. The availability of PI on Australian exchanges like CoinSpot or Swyftx would mean that any price fluctuations directly impact local holders.

Furthermore, the increasing exchange balances and upcoming token unlocks foreshadow potential further market volatility. Australian investors should be aware that such events can lead to increased supply and selling pressure, impacting their holdings. It's important to factor in how these market mechanics could influence the AUD-denominated value of any PI holdings. When considering tax implications, the Australian Taxation Office (ATO) views cryptocurrency as property, meaning capital gains tax may apply to profits from selling PI, even if the price is falling, while capital losses can be used to offset future gains.

Impact on the AUD market

The direct impact of Pi Network's recent developments on the broader AUD cryptocurrency market is likely to be limited, given PI's position outside the top-tier cryptocurrencies globally. However, for Australian investors specifically holding or looking at PI, the implications are more direct. The rapid depreciation of PI's value means that any Australian dollar invested in PI would have seen a significant reduction in its AUD equivalent value.

If PI were to be listed on major Australian exchanges such as Independent Reserve, BTC Markets, CoinSpot, or Swyftx, the volatility of its AUD pairing would be a key consideration. Currently, the price trajectory of PI, particularly its new all-time low against the US dollar, suggests that an AUD trading pair would exhibit similar, if not more pronounced, downside due to currency fluctuations. Increased selling pressure, driven by exchange transfers and token unlocks, could see a higher supply of PI on these platforms, potentially impacting liquidity and price stability.

Australian regulatory bodies like ASIC (Australian Securities and Investments Commission) and AUSTRAC (Australian Transaction Reports and Analysis Centre) oversee the crypto landscape to protect consumers and prevent financial crime. While Pi Network's current status doesn't typically fall under direct product regulation by ASIC unless offered as a financial product, the general market sentiment it generates – particularly about project risks and market volatility – feeds into the broader risk assessment for Australian crypto investors. The performance of projects like Pi Network can influence how Australian investors approach new or less established digital assets.

What to watch next

For Australian investors following Pi Network, the immediate focus should remain on the announced protocol upgrades. The successful migration to protocol v25 by June 18th will be another technical milestone to assess network stability and future capabilities. While technical improvements are vital, the market's reaction, or lack thereof, to these developments will be a key indicator for potential price recovery.

Monitoring the effect of the upcoming token unlocks is also crucial. With 160 million PI slated to enter circulation over the next month, particularly the 16 million releasing on June 11th, observers should watch for significant increases in selling pressure. How the market absorbs this new supply will provide insights into investor sentiment and future price trajectories. Data on exchange balances, particularly on platforms where PI is traded, will offer real-time indications of potential selling intent.

Furthermore, developments within Pi Network's gaming ecosystem, such as the adoption and reception of the new CiDi Games, could provide an alternative narrative for the project. While unlikely to directly influence price in the short term, successful user engagement in these applications could indicate a growing and active user base, a factor some investors value. However, the overarching market sentiment and the ongoing bear market conditions will likely continue to exert significant influence on PI's valuation, making broad market recovery a prerequisite for sustained price appreciation.

Australian investors should continue to exercise caution, conducting thorough research and considering their personal risk tolerance. Always remember that past performance is not indicative of future results, and the cryptocurrency market remains highly speculative and subject to rapid changes. Diversification and understanding the specifics of any asset, including its market mechanics and regulatory environment, are paramount, especially in a project with a unique or complex distribution model.