Ranked thirty second by market capitalization, Internet Computer noticed its token ICP buying and selling at $20.7 on the time of writing. It appeared to interrupt the market construction in early January, however the intense promoting stress since then has really seen ICP register a brand new set of lows at $19.1, simply beneath the $20.9 lows in late December. The place was ICP possible headed subsequent?
Two units of Fibonacci retracement strains had been drawn for various strikes of ICP prior to now few months. They confirmed good confluence on the $39.7 stage, and marked the $26.9-$29.7 space as one the place sellers may as soon as extra step in with power.
The $28.5 has been a long-term assist stage, and the worth crashed straight previous this stage prior to now month. Value seeks liquidity, and ICP may discover this liquidity on the $28 space within the weeks to come back.
Nevertheless, the market construction remained bearish. Whereas a powerful bounce was seen from $20.7 to $38, it was adopted by an enormous plunge. This was not an encouraging signal for the bulls as the worth broke beneath the lows set in December.
A transfer to $28 may happen, however whether or not it sees a rejection there or can climb greater to flip it to a requirement area remained to be seen.
One other fascinating factor was that each the Fibonacci units of ranges gave a 27.2% extension stage at $10.7. This might be a goal that ICP would commerce at within the coming months. It’s not remarkable for altcoins to lose greater than 99% of their worth as soon as their hype dies down.
The RSI was climbing from the oversold territory however was nonetheless beneath impartial 50. This confirmed that the bearish pattern was but unbroken, and the impartial 50 space might be revisited as soon as once more earlier than a doable rejection.
The Cumulative Delta Quantity confirmed some demand behind ICP’s bounce from $20 to $36, but in addition confirmed heavy promoting stress prior to now couple of weeks.
Each the MACD and the Superior Oscillator confirmed that, in current weeks, momentum has been strongly bearish. Within the subsequent few days, weakly bullish momentum might be seen for ICP because the MACD appeared to kind a bullish crossover.
The $28 space will possible maintain a lot significance within the coming weeks for ICP. This was an space bulls would want to flip from resistance to assist earlier than they’ll try and reverse the downtrend since September.