PI Network price crashed as a risk of centralization

The price of Pi Network continued its trend falls on Saturday, because it remained concern about its centralization and tokening the tokens.

PI coin (Write) fell to $ 0.7040, compared to more than 57% this week from her highest point. This decline in the volume environment has led to the Vipeout of $ 6 billion because the market caps moved with $ 11 billion to $ 5 billion.

The PI network has a number of risks, the key among them is constant centralization. The CoinMarketCAP data show that PI has a maximum supply of 100 billion coins and 7.15 billion circulation.

PI differs from bitcoin (Btc), whose new coins are produced by mining, which includes solving complex mathematical budgets. Also differs from the Powel Projects Crypto attacks like Cardan (Ada) and avalanches (Avaq), which depend on the Validator.

Instead, all 100 billion pi coins are already pre-mini-minified and hidden in the wallets that control the PI Foundation. Look down. The Foundation controls 92 billion unlocked coins.

This situation represents significant risks for PI network community. For one, membership in the so-called PI Foundation was not published, and the entrance of community members are not represented in it.

Another risk is when a hacker or insider approaches wallets for Foundations PI and decides to leave tokens. In addition, the PI Foundation is not subject to any audit to confirm its farms that are estimated to be worth $ 70 billion.

This centralization and opporality generally explain why the main exchange like bynance and tavern resisted in the PIA coin, three months after starting the main networks.

The PI network also has other risks that hurt its price. For example, millions of tokens lead to the market each month. 1.48 billion token will be unlocked in the next 12 months and a billion more in the next few years.

PI Network price analysis price

The octagonal chart shows that the price of PI coins are clocked to 1.6673 USD before expected Ecosystem New event. He then cared at the current $ 0.6980, the lowest point for more than a week.

Pi crossed the key support to $ 0.7760, the highest swing 12. April. The movement below that support has humiliated the formation of noise sample and re-installation.

Coin also moved below the average average of 25 periods, while the relative point index pointed down and moved below 50.

Therefore, the price of PI networks will probably drop support to $ 0.6, which coincides with an upward trendline that connects the lowest swings since April 7. April. The fall below that level will be matches to more intact, potentially $ 0.40.