Pyth Network’s hot streak has cooled off. After surging more than 100% to a six-month high last week, the PYTH token has fallen over 11% in the past 24 hours, now trading around $0.16. The sharp drop has dragged its market cap below $1 billion, currently sitting at about $935 million.
From Breakout to Pullback
Just days ago, PYTH was one of the standout gainers in the crypto market. Its rally was fueled by news that the U.S. Department of Commerce would put economic data onchain using both Pyth Network and Chainlink. That announcement sent PYTH soaring from $0.11 on Aug. 28 to $0.25 on Aug. 29, its best level in half a year.
But as the broader crypto market slumped, Pyth quickly gave back gains. Daily trading volume has dropped by about 25%, signaling profit-taking as traders lock in wins from last week’s run.
Following the Market Trend
PYTH’s decline isn’t happening in isolation. The retreat mirrors moves in Bitcoin and Ethereum, which have also slipped in recent sessions. Bitcoin dropped below a key psychological level, hitting lows of $107,300, while Ethereum edged lower in tandem.
With the sell-off, Pyth’s weekly gains have narrowed to about 41%, and analysts warn the correction could deepen if market weakness continues through September.
What’s Next for Pyth?
Bulls had set their sights on $0.30 after last week’s explosive rally, but that target looks increasingly distant in the short term. Analysts at Bitfinex suggest altcoins as a whole are entering a cooling phase, with little new capital flowing in.
“Altcoin market cap is stagnating,” the analysts wrote in a Monday outlook. “Movements in alts right now signal capital rotation rather than expansion. With ETF inflows seasonally muted and speculative excess flushed, September could mark the cyclical low point before structural drivers reassert for a Q4 recovery.”
In other words, PYTH may struggle in the near term, but if the market finds its footing, the final quarter of 2025 could provide the next big test of whether Pyth’s momentum is here to stay.
