PI coin plunged roughly 10% in the last 24 hours, even after Pi Network announced a $100 million venture initiative to support startups under the name Pi Network Ventures.
Initially, the announcement generated investor optimism, but the market quickly turned bearish.
PI is now trading around $0.803, down from a recent peak of $1.65.
That sharp decline reflects a classic “sell the news” reaction, as technical indicators point to additional downside risks.
Launch of Pi Network Ventures
On May 14, Pi Network unveiled Pi Network Ventures, allocating $100 million to stimulate startup innovation within the ecosystem.
The fund, denominated in PI and U.S. dollars, aims to back companies that boost PI’s real utility.
It plans to support startups in areas such as artificial intelligence, fintech, and e-commerce by helping integrate Pi into their products and services.
The initiative is supported by 10% of the Pi Foundation’s token reserves.
Overall, the fund’s objective is to help transform Pi into a widely used cryptocurrency.
However, the lack of specifics about how projects will be selected disappointed some investors, contributing to a deterioration in market sentiment after the announcement.
Additionally, the fund’s focus extends beyond blockchain to broader technology sectors, reflecting a Silicon Valley-style venture capital approach.
The wide strategy is intended to strengthen the Pi ecosystem for the 19 million users who have completed KYC verification.
Despite these ambitions, the announcement failed to sustain bullish momentum; PI’s price fell about 26.2% within 24 hours following the news.
Community complaints about slow migration processes after the mainnet launch added selling pressure.
Still, the initiative gives startups access to Pi’s global user base across more than 200 countries, which could support long-term adoption even if the immediate market reaction remains mostly bearish.
PI Coin price outlook
At the time of writing, PI was trading at $0.803, down 10.6% over the past 24 hours, according to Coingecko data.
Notably, the price broke the critical psychological support level at $1.
Technical analysis shows a bearish flag pattern on the 2-hour chart.
This formation signals potential further declines to $0.75 or even $0.57.
Additionally, the 21-period EMA has crossed below the 50- and 200-period EMAs, reinforcing bearish momentum.
The Relative Strength Index (RSI) indicates oversold conditions, reflecting strong selling pressure.
Conversely, a bullish market reversal could push PI back toward $1.25, aligning with the 0.618 Fibonacci retracement level.
Despite recent losses, PI remains 11.8% higher than a week ago, though it is 73.1% below its all-time high of $2.99 from February 2025.
Trading volume has increased by 11%, representing 14% of the market capitalization of $5.75 billion.
The heightened activity underscores market reaction to the Ventures announcement; failure to reclaim $1 could deepen bearish pressure.
On the other hand, a broader crypto market rally could support PI’s recovery, and traders should watch the 50- and 200-day EMAs as key resistance levels.
Ultimately, PI’s short-term outlook will depend on market sentiment and how the ecosystem develops going forward.