Pi Network’s price is currently hovering near its lowest point, mirroring the overall negative trend in the cryptocurrency market. Simultaneously, the Valor Pi exchange-traded product (ETP) is struggling to gain momentum, with the fund only accumulating $3,400 in assets.
Summary
- Pi Network’s price remains near its lowest point ever.
- The Valor Pi Fund has raised just $3,400 in assets within the past month.
- A large investor, known as a “whale,” continues to accumulate Pi coins.
Pi Coin dropped to a record low of $0.1900 on Monday, before bouncing back slightly to its current price of $0.2826, about 91% below its all-time high.
Reasons Behind Valor Pi Fund’s Struggles
Despite initial expectations, the Valor Pi Fund has failed to attract significant interest. The fund, which was launched in Sweden, has only gathered SEK 32,075 (roughly $3,400) in assets over the past month.
Here are a few reasons for the slow growth of the fund:
- High Fees: The fund charges a 1.9% management fee, which is considerably higher than the fees charged by other popular crypto ETFs, which generally fall below 0.25%.
- Timing of the Launch: The Valor Pi Fund launched when the Pi Network’s price was stagnant. Crypto funds tend to attract more investments when the price of the underlying asset is on the rise, which was not the case with Pi at the time.
- Lack of Significant Updates: Pi Network has not seen any major updates in recent months. There have been no significant integrations or token burns to create excitement, and no new exchanges have listed Pi coins since the mainnet launch.
Positive Developments Amid the Struggles
Despite the challenges faced by the Valor Pi Fund, one large investor, known as a “whale,” continues to purchase Pi coins. This investor has accumulated over 383 million coins, making them the largest holder of Pi. The whale’s latest purchase was 1.433 million coins on Sunday.
While the identity and motivations of this whale remain unknown, the size of these purchases suggests they may have insider information or expect a future development that could lead to an increase in Pi’s price.
Pi Network Price Technical Analysis
Looking at the Pi Coin price chart, it has remained in a tight range for several months. Recently, the price broke below its range as the broader crypto market experienced a decline. Pi Coin is still trading below all major moving averages, and trading volume has decreased.
However, this decline might be a “shakeout,” a sharp drop that often precedes a price recovery. If this happens, Pi Coin could rebound and rise back towards $0.4582, its highest price reached on August 10.
