Pi Network (PI) saw a 18% price rebound, as speculation builds around a potential GenAI integration.

The Core Team has teased an announcement scheduled for June 28—dubbed “Pi2Day” by the community—which some believe could pivot the project toward AI-powered infrastructure. However, mounting unlock pressures cast doubt on the sustainability of the recent rally.

GenAI Speculation Fuels Brief Recovery

According to CoinMarketCap, PI rose to $0.6247 after the announcement teaser, driven by renewed investor interest. Yet this bounce comes after a steep 70% drop from its May high of $1.67, a decline that began the same day co-founder Nicolas Kokkalis spoke at a GenAI panel.

While AI narratives have lifted other tokens this cycle, skepticism surrounds Pi due to its closed mainnet and uncertain development timeline.

Investor caution is understandable given Pi’s track record. The project has delayed full decentralization and lacks utility for now, leading some to suspect the GenAI hype is more promotional than substantive.

The upcoming announcement will be critical in shaping sentiment—either confirming a meaningful shift or reinforcing doubts.

Token Unlock Adds Pressure to an Already Fragile Rally

Adding to the concern is a looming supply event in July, when 268.4 million PI tokens are set to be released—marking the largest unlock until October 2027.

Historical trends suggest such events often spark sell-offs, especially in projects with unclear fundamentals. Despite a 3.96% increase in trading volume, PI remains 82% below its February peak of $2.98.

The risk of a “buy the rumor, sell the news” scenario is high. Traders are essentially betting on the strength of the June 28 update. Without concrete technological progress, the market could quickly reverse. Until the Core Team delivers clarity, PI’s rally appears tentative, and its long-term viability remains in question.

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