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Three Reasons Why Pi Network (PI) Could Crash Again After Hitting a 3-Week High

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PI Token Unlocks


Meanwhile, some market observers believe PI could eventually explode above $1.

The cryptocurrency market continues its impressive recovery, with Pi Network’s PI stealing the show with an impressive 15% daily surge.

However, certain factors suggest that its price could soon turn downward again.

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Time to Cool Off?

PI is the best-performing top-100 cryptocurrency today (March 5), with its valuation soaring to a three-week high of $0.20 (per CoinGecko data). Its market capitalization exceeded $1.9 billion, thus making it the 43rd-largest digital asset.

Perhaps the most likely catalyst fueling the rally is the broader revival of the cryptocurrency sector. Bitcoin (BTC) briefly rose to almost $74,000, Ethereum (ETH) neared $2,200, while well-known altcoins like Monero (XMR), Aster (ASTER), and Toncoin (TON) have jumped by 6-7% on a 24-hour scale.

PI’s pump also coincides with the latest updates announced by the Core Team. As CryptoPotato reported, the protocol v19.9 migration was successfully completed. The next version is v20.2, and it is expected to be released before Pi Day 2026 (March 14).

The upcoming token unlocks, though, indicate that PI may not be out of the woods yet. Data shows that a substantial amount of coins will be freed up in the coming days: a development that doesn’t guarantee a price decline but increases immediate selling pressure. March 7 is scheduled as the record day, when almost 21 million PI will be released.

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PI Token UnlocksPI Token Unlocks
PI Token Unlocks, Source: piscan.io

The second bearish factor is the rising supply stored on exchanges, now sitting at roughly 365.5 million coins. Such a shift from self-custody toward centralized platforms is often interpreted as a pre-sale step.

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PI Supply on Exchanges
PI Supply on Exchanges, Source: piscan.io

Last but not least, we will touch upon PI’s Relative Strength Index (RSI). The technical analysis tool measures the speed and magnitude of the latest price changes and is used by traders to identify trend reversals. It runs from 0 to 100, and ratios above 70 signal that the asset has entered overbought territory and could be on the verge of a pullback. As of press time, PI’s RSI stands at around 72.

PI RSIPI RSI
PI RSI, Source: RSI Hunter

How About Further Gains?

Some market observers expect PI’s rally to continue in the short term. X user ALTS GEMS Alert predicted that the price might soar above $0.30 should it hold the key level around $0.19.

“Momentum building… breakout could send it much higher,” they added.

Whale Hunter forecasted that PI will move “small by small,” starting at $0.20, then $0.40, and eventually exploding to $0.70 and beyond $1. “That’s how crypto works. Finally, you are X5 to X10 profit,” they suggested.

Meanwhile, there has been growing speculation that the leading crypto exchange Kraken might list Pi Network’s native cryptocurrency on Pi Day. Such a move would increase liquidity, improve availability, strengthen its reputation, and potentially support a positive price reaction.

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Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

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Crypto World

Zilliqa Launches zUSDC via XBridge as Network Takes Full Control of Stablecoin Infrastructure

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Nexo Partners with Bakkt for US Crypto Exchange and Yield Programs

TLDR:

  • Zilliqa launches zUSDC via XBridge, shifting USDC liquidity from third-party bridges to native network infrastructure.
  • The zUSDC contract is live at 0xe59f97Fac09ee00AEEF320485ee45D5CcfbBC1E9, supporting DEX pools and stablecoin trading pairs.
  • Debridge support on Zilliqa permanently ends March 31, 2026, requiring all legacy USDC holders to act immediately.
  • XBridge receives a full UI overhaul as Zilliqa works toward automated, seamless cross-chain token transfer processing.

zUSDC is now live on Zilliqa through the network’s native XBridge system. This change moves USDC liquidity away from third-party bridging toward Zilliqa-operated infrastructure.

The transition is designed to improve long-term reliability and give Zilliqa direct control over stablecoin operations.

Users currently holding USDC on Zilliqa must act before March 31, 2026. After that date, Debridge support on the network will permanently end, affecting all remaining legacy USDC holders.

Zilliqa Transitions USDC Liquidity to Its Own XBridge Infrastructure

zUSDC is a USDC representation bridged to Zilliqa through the network’s own XBridge system. Its contract address is 0xe59f97Fac09ee00AEEF320485ee45D5CcfbBC1E9.

The token supports stablecoin trading, DEX liquidity pool participation, and arbitrage across pairs such as kUSDC and zUSDT. Zilliqa now holds direct operational control over this stablecoin liquidity within its ecosystem.

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Previously, USDC liquidity on Zilliqa depended on external bridging infrastructure from third-party operators. Most of that liquidity was concentrated in DEX pools supporting trading and arbitrage activity.

Running external infrastructure under those conditions created an operational dependency. That dependency came without proportional benefit to the broader network, making this transition a practical move for the ecosystem.

The migration followed a phased process. Existing USDC was first bridged back to Ethereum as the starting point. It was then minted as zUSDC under Zilliqa-managed infrastructure and re-bridged through XBridge.

From there, funds were redeployed into ecosystem trading pools, with each phase structured to keep disruption low throughout.

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Zilliqa shared the update on its official channel, stating it was “introducing zUSDC via XBridge on Zilliqa” and that the move improves reliability while keeping “stablecoin liquidity flowing across the ecosystem.”

As part of the Phase 3 ecosystem rollout, a zUSDC trading pair also launched on Plunderswap. Additionally, XBridge received a full UI overhaul, with the refreshed interface now available at xbridge.zilliqa.com.

Users Face March 31 Deadline as Debridge Support on Zilliqa Ends

Users holding USDC on Zilliqa must bridge their assets out through Debridge before March 31, 2026. Two options are currently available for doing so.

The Plunderswap bridge widget is accessible at plunderswap.com/bridge, while the StakeZIL bridge is available at stakezil.com. Both remain operational until the sunset date arrives.

After March 31, Debridge will no longer function on Zilliqa. Users who still hold legacy USDC beyond that point will need to reach out to Zilliqa directly for assistance. The team can be contacted at enquiry@zilliqa.com for support with any remaining holdings.

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This transition does not remove stablecoin liquidity from the Zilliqa ecosystem. Rather, that liquidity is being moved to infrastructure that Zilliqa directly owns and operates.

The network frames this as a long-term step toward institutional-grade financial rails that the network itself controls.

Alongside the zUSDC launch, Zilliqa is also improving XBridge’s processing efficiency. The team is actively developing automation for bridge transaction processing.

This effort is aimed at making token transfers faster and more seamless across all chains that XBridge supports.

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Crypto World

SEC Submits Proposal on Interpreting Crypto under Securities Laws

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Cryptocurrencies, Law, Security, SEC, White House

The proposed interpretative application of federal securities laws on digital assets by the SEC reportedly carries more weight than staff-level statements.

Officials at the US Securities and Exchange Commission (SEC) submitted a regulatory proposal to the White House with the potential to change how the government handles enforcement of federal securities laws over cryptocurrencies.

In a Tuesday submission to the White House’s Office of Information and Regulatory Affairs, the SEC sent a “commission interpretation on application of the federal securities laws to certain types of crypto assets and certain transactions involving crypto assets.”

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The move reportedly marked interpretative guidance around “token taxonomy” for cryptocurrencies, determining which tokens may be considered securities under the SEC’s purview.

Cryptocurrencies, Law, Security, SEC, White House
Source: White House Office of Information and Regulatory Affairs

In contrast with rulemaking that requires notice to the public and comment periods, the proposed interpretative application of federal securities laws reportedly carries more weight than staff-level statements. SEC Chair Paul Atkins and Commissioner Hester Peirce said at ETHDenver in February that the agency sought to clarify how tokenized securities fit within existing federal securities laws.

As of Thursday, the proposal was under review by the White House office. Trump administration officials have also held three meetings in 2026 related to passage of the crypto market structure bill moving through the US Senate. The legislation, if passed, is expected to significantly affect how the SEC and Commodity Futures Trading Commission (CFTC) oversee digital assets. 

Related: Ex-OpenAI researcher’s hedge fund reveals big Bitcoin miner bets in new SEC filing

Separately, the CFTC on Monday sent its own guidance on prediction markets to the White House. Michael Selig, who chairs the regulator, has claimed that the agency has “exclusive jurisdiction” in overseeing such markets.

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SEC and CFTC still lack commissioner appointees

As of Thursday, the SEC is being led by three commissioners and the CFTC by one, in bodies normally consisting of a bipartisan group of five. The commissioners — Selig at the CFTC, and Atkins, Peirce and Mark Uyeda at the SEC — are all Republican members, with no leaders representing Democrats.

US President Donald Trump has not made any public statement signaling that he plans to nominate additional commissioners to either agency.

Magazine: What’s a ‘Network State’ and are there real-life examples? Big Questions

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