Pi Network Token Faces Critical Support Test at $0.40

• Pi Network token is trading near the critical $0.40 support level and faces a potential decline in market cap ranking. 

• The development team controls over 90% of tokens and may intervene to prevent major price crashes. 

• The cryptocurrency crashed over 85% from its $2.99 peak but found support around $0.40 in recent months.

Pi Network’s native cryptocurrency has entered a precarious phase as trading prices hover dangerously close to the pivotal $0.40 support level. Market analysts closely monitor this threshold, as a breakdown could trigger significant consequences for the digital asset’s market positioning and investor sentiment.

The cryptocurrency’s current predicament stems from sustained selling pressure that has dominated recent trading sessions. Technical indicators suggest the token remains vulnerable to further declines unless substantial buying interest emerges to defend the critical support zone.

Team Control Could Prevent Major Crash

Market observers highlight a unique aspect of Pi Network’s tokenomics that may influence price action. The development team reportedly controls over 90% of the total token supply, giving them substantial influence over market dynamics. This concentration of ownership gives the team the theoretical ability to intervene during periods of extreme volatility.

Cryptocurrency analyst Dr_Picoin emphasized the importance of maintaining price levels above $0.40. The analyst argues that allowing the token to breach this support could result in Pi Network falling out of the top 30 cryptocurrencies by market capitalization. Such a decline would diminish the project’s appeal to potential investors and reduce its overall market visibility.

The $0.40 level first emerged as significant support during April 2025, when the token experienced its initial major correction. This price point has since served as a psychological barrier for both buyers and sellers in the market.

Price History Reveals Volatile Journey

Pi Network’s price trajectory illustrates the extreme volatility common among newly launched cryptocurrencies. The token achieved remarkable gains during its debut week, surging over 380% to establish an all-time high of $2.9950. This initial rally generated considerable excitement among early supporters and market participants.

However, the euphoria proved short-lived as profit-taking activities by early adopters triggered substantial selling pressure. The subsequent correction erased most of the token’s initial gains, with prices declining by more than 85% from peak levels within approximately six weeks.

The token’s lowest point occurred in June when it briefly touched $0.3969, establishing what many consider its all-time low. This level represented the culmination of months of bearish sentiment that followed the initial launch period.

Market participants continue to debate whether current price levels represent a buying opportunity or signal further weakness ahead. The resolution of the $0.40 support test will likely determine Pi Network’s near-term direction and its ability to regain momentum in an increasingly competitive cryptocurrency landscape.

Trading volumes and market sentiment indicators suggest investors remain cautious about the token’s prospects, awaiting clearer signals about its fundamental value proposition and long-term sustainability.