- PI hit an all-time high of $3 before more than dropping 70% to less than $0.75, where analysts had predicted a potential bounce.
The token has increased more than 14% from its low point, despite most of the crypto network recording losses.
Deposits on exchanges have fallen substantially, lowering selling pressure, and innovations such as Telegram wallet support could underpin further stability.
PI increased shortly after its official launch on February 20 to an all-time high of $3 on February 26. But the momentum was short-lived, and the token crashed.
In a month, the token declined more than 70% in value below $0.75. Experts recognized this level as a strong support level that could trigger a price bounce back.
PI’s Unexpected Rebound in a Weak Market
Up to now, the predictions hold true, as the token has managed to recover by more than 14% from its recent low. Within a day, it has risen by 4.1%, according to CoinGecko.
While a 4% rise is not large in relation to its previous fall, it is significant considering that most of the crypto universe is facing losses today.
Bitcoin once again dipped below $86,000, and a number of large altcoins such as DOGE, LINK, SHIB, DOT, APT, and ICP fell by more than 5%.
The recent price recovery has caused optimism among the token growing community. Some traders now expect the price to climb towards $1.2 soon. Others have pointed out the increasing trading volume as a positive sign, especially given the generally low market activity.
Shrinking Exchange Inflows Signal Stability
One of the most encouraging factors is the visible drop in exchange deposits for the token.
In comparison to the immense sell pressure in the previous month, when in excess of 300 million PI tokens were transferred to centralized exchanges, the deposit levels currently are considerably lower, at approximately a million tokens.
At the same time, there are certain positive developments within the Pi Network ecosystem, like Telegram wallet integration for the token. This can further aid in the adoption and stability of the token in the long term.
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