The listing marks the token’s first appearance on a major derivatives platform. However, it failed to create positive momentum for the token’s price.
Based on CryptoSlate data, Pi was trading at $0.77 as of press time, down 5.33% over the past 24 hours.
It allows investors to long or short PI without holding the asset directly, offering exposure to its price movements amid ongoing questions surrounding the project’s decentralization and market performance.
The perpetual contracts will be available on Kraken Pro and offer access to over 360 trading markets with more than 40 collateral options.
Perpetual futures differ from traditional contracts by having no expiration. This enables traders to maintain their positions indefinitely, subject to funding rate payments.
Liquidations on both long and short positions could lead to unpredictable volatility in the near term.
While the Kraken listing brings increased visibility to Pi Network, it also introduces a more complex trading environment. In a scenario where bearish sentiment is rising, short sellers may use the new instruments to further pressure the market, causing unexpected spikes in volatility.
