The residual loss in Physics-Informed Neural Networks (PINNs) alters the simple recursive relation of layers in a feed-forward neural network by applying a differential operator, resulting in a loss landscape that is inherently different from those of common supervised problems. Therefore, relying on the existing theory leads to unjustified design choices and suboptimal performance. In this work, we analyze the residual loss by studying its characteristics at critical points to find the conditions that result in effective training of PINNs. Specifically, we first show that under certain conditions, the residual loss of PINNs can be globally minimized by a wide neural network. Furthermore, our analysis also reveals that an activation function with well-behaved high-order derivatives plays a crucial role in minimizing the residual loss. In particular, to solve a k-th order PDE, the k-th derivative of the activation function should be bijective. The established theory paves the way for designing and choosing effective activation functions for PINNs and explains why periodic activations have shown promising performance in certain cases. Finally, we verify our findings by conducting a set of experiments on several PDEs. Our code is publicly available at https://github.com/nimahsn/pinns_tf2.