In the last 24 hours, the Internet Computer Protocol (ICP) experienced significant price fluctuations, navigating through a narrow trading corridor of $0.22, marking a 4% range. Initially, ICP tested its support level at $4.83 before initiating a robust rally that saw the token peak at $5.05 by 06:00 UTC. However, this upward momentum encountered resistance and led to a subsequent decline.
According to data from CoinDesk Research’s technical analysis, the $4.83 level emerged as a crucial accumulation zone, characterized by a notable surge in trading volume to 348,793 units. Despite the early gains, the rally faced challenges at the $5.05 mark, where profit-taking occurred, creating a firm resistance level. Following this, a consolidation phase around $4.97 ensued, followed by another small uptick to $4.99 at 14:00 UTC. The market, however, quickly turned as selling pressures dominated, causing ICP to drop to $4.93 in a matter of minutes. As of the latest update, ICP was trading just below $4.90, approximately 3% lower than its intraday high of $5.05.
During this period of volatility, trading activity surged, with over 170,000 units changing hands within a two-minute window from 14:01 to 14:03. This spike in volume indicates either systematic liquidations or execution of stop-loss orders.
Beyond the immediate price actions, the underlying development of the ICP ecosystem continues to gain traction. The network recently celebrated its Ignition milestone achieved on September 4, which enables large language models (LLMs) to operate natively on-chain. This pivotal upgrade opens avenues for developers to create AI-powered decentralized applications (dapps) capable of generating smart contracts directly on the ICP blockchain. The overarching ambition of these advancements is to establish a “self-writing Internet,” allowing even non-technical users to deploy dapps using natural language inputs.
From a technical standpoint, ICP’s trading ranged between $4.83 and $5.05. The substantial accumulation at the support level of $4.83, evidenced by the high trading volume, sets the groundwork for potential future moves. Currently, new support has formed around $4.93, presenting a possible pivot point for upcoming trading sessions, while resistance remains firmly situated at the previously mentioned $5.05 threshold, crucial for any sustained breakout in the future.
