$PI Pi started mentioning increased speculation on the 24th, leading to a sharp price rise to 0.2.

On the 26th, it was mentioned that the 28th and 29th are critical times for speculative accumulation.

After the speculation ended, a liquidity gap was created.

On the 30th, due to the lack of further speculation, the price was deliberately suppressed, profiting from contract and spot arbitrage.

However, there's no need to doubt this; this is not some PCT scam dump. The messages only show the speculators, and the short-term hype ended with them selling off and exiting.

(The following is an illustrative simulation to help understand:)
Moreover, this person is a technical analyst who uses low-liquidity exchanges to influence high-liquidity exchanges and change prices.
After withdrawing liquidity from low-liquidity places, just selling 10,000 Pi can enable short positions on other exchanges through contracts, which can alter contract liquidity and affect spot liquidity across exchanges, leading to lower prices in trades.

This happens because the buy orders at high prices on the market are excessive, creating an opportunity to arbitrage contract price differences.
This is not called market suppression; it’s just that, due to speculative price spreads, shorting > price suppression > closing short positions > ending the hype. So, this price difference was exploited, and it has nothing to do with Pi’s market conditions.

Meanwhile, the demand basis for prices on the PCT system remains unchanged, and this speculation also helps eliminate obstacles faced by Pi during its growth, especially against those speculators trying to short it.

Therefore, the wallet transfers observed yesterday on the PCT system do not indicate a PCT dump but rather reflect a hollowing out of market liquidity chips created by speculative contracts and spot price differences. To prevent speculators from causing a crash by exploiting liquidity, emergency liquidity was borrowed.

This is explicitly mentioned in Pi’s white paper, which helps explain the purpose of setting up 10,000 wallets holding 2 million Pi each. This aligns with my initial understanding: designing 100 billion Pi does not mean releasing all 100 billion at once, but reserving 51% to counteract malicious market attacks and provide emergency liquidity.

This wave demonstrates how the Pi system’s detection of liquidity gaps functions effectively. Without transferring 10 million, speculators with 20,000 Pi could push Pi down to 0.001.
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