Pi Coin Price Forecast: $10 Million Fraud Lawsuit Filed Amidst 2 Billion Tokens Sold – Will Pi Coin Reach $0?

Investors are retreating as a $10 million lawsuit alleges that Pi Network is involved in a widespread fraud scheme, overshadowing optimistic PI coin price forecasts.

Concerns regarding unauthorized transactions, a covert dump of 2 billion Pi tokens, and intentionally postponed network migration have triggered a withdrawal, resulting in a 5% decline for the altcoin.

As per court documents, plaintiff Harro Moen asserts that the scheme developed over multiple years and inflicted considerable financial harm. He is pursuing $10 million in damages.

Is a lawsuit genuinely going to be initiated against #PiNetwork?
I cannot confirm the truth of this, but I am aware that its value is likely to decrease soon, and public confidence in it will also wane. @PiCoreTeam must respond promptly. pic.twitter.com/fMDQj5ouCD

— The Times of PiNetwork (@PiNetwork24X7) December 7, 2025

Moen attributes an unauthorized transfer of 5,137 PI tokens from his verified wallet to an unidentified address on April 10, 2024, to a scheme aimed at dumping over 2 billion PI of user assets.

He also noted that the situation was exacerbated by the inability to migrate his remaining 1,403 tokens to the Pi Network Mainnet, leaving him with substantial unrealized losses.

The complaint further contends that despite promoting Pi Network as decentralized, the defendants allegedly retained centralized control by operating solely three validator nodes.

These allegations pose a risk of exacerbating Pi Network’s primary challenge: adoption. The project already struggles with a significant use case to support long-term growth, and now developers may completely overlook the layer-1.

The liquidity strain may intensify, with short-term speculative trading heightening deflationary pressure as token unlocks proceed at an average rate of 6.1 million PI daily.

Pi token 30-day unlock schedule. Source: PiScan.

Pi Coin Price Prediction: Is a Recovery Still Possible?

The controversy arises as the PI coin price tests a robust confluence of support at the lower boundary of a 2-month ascending triangle and the 0.5 Fib retracement level.

PI USDT 12H chart, symmetrical triangle pattern. Source: TradingView.

Momentum indicators indicate a hint of bullishness. The RSI has rebounded from near-oversold levels, which typically signals a bottom in corrections.

The MACD is also gradually approaching a golden cross above the signal line, indicating increasing strength.

This support could serve as a launchpad for a breakout towards the pattern’s $0.40 target, representing an 8% increase from current levels.

However, the lawsuit could dampen bearish sentiment sufficiently to hinder slow growth. A breakdown would target all-time lows, 30% lower at $0.15.

Below that lies a precarious gap area, with minimal historical support to mitigate downside risks, potentially leading to a 65% drop to the 1.618 Fib retracement at $0.075.

Bitcoin Hyper: A Layer-2 Attracting Talk For Better Reasons

Those who turned to Pi Network as an alternative Layer 1 to the leading cryptocurrency may need to rethink their choice, as the Bitcoin ecosystem finally addresses its most significant limitation: ecosystem growth.

Bitcoin Hyper ($HYPER) is merging Bitcoin’s security and stability with Solana’s speed, establishing a new Layer-2 network that enables scalable and efficient use cases that Bitcoin could not support independently.

The project has already secured nearly $30 million in presale, and post-launch, even a small fraction of Bitcoin’s trading volume could significantly enhance its valuation.

Bitcoin Hyper is addressing the slow transactions, high fees, and limited programmability that have restricted Bitcoin’s potential – just as the market begins to turn bullish.

To purchase HYPER at the presale price before it lists on exchanges, visit the official Bitcoin Hyper website and connect a crypto wallet such as Best Wallet.

You can exchange crypto or use a bank card to complete the purchase in moments.

Visit the Official Website Here

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