Internet Computer (ICP) faced sharp intraday volatility on July 15, 2025, sliding as much as 3.47% early in the session. The token dropped from $5.50 to $5.21, with bearish pressure pushing the price as low as $5.20 during overnight trading.
Over 850,000 contracts were traded around 03:00 UTC, indicating intense market activity from short-term sellers.
Caffeine Launch Sparks Rebound
The launch of Caffeine, a next-generation AI-powered Web3 platform, marked a turning point for investor sentiment. Officially unveiled at the “Hello, Self-Writing Internet” event in San Francisco, Caffeine enables no-code decentralized app (dApp) creation using natural language prompts.
This innovation combines artificial intelligence with blockchain functionality — a major step forward in on-chain AI deployment.
As buying interest returned, ICP rebounded from $5.27 to $5.34, trimming earlier losses and showing renewed strength around the $5.27–$5.28 support zone.
DFINITY’s Strategic Moves Support Long-Term Growth
The DFINITY Foundation, which governs the Internet Computer ecosystem, has made key protocol upgrades to support long-term adoption:
- Over 1 million ICP tokens have been burned, reducing circulating supply.
- A new vetKeys privacy protocol has been introduced to enhance on-chain data security — a critical upgrade for decentralized applications.
These updates align with DFINITY’s vision to make Internet Computer the leading AI-powered blockchain.
Technical Outlook: Eyes on $5.40 Resistance
Recent market activity shows accumulation near key support levels, with significant volume spikes recorded at:
- 14:52 UTC (41,106 contracts)
- 15:03 UTC (44,658 contracts)
- 15:29 UTC (17,658 contracts)
ICP is now trading at $5.4324, holding above intraday lows and preparing to test resistance around $5.40–$5.42, which has previously capped rallies.
Conclusion
With AI integration via Caffeine, solid technical support, and tokenomics improvements, Internet Computer is regaining attention from both retail and institutional traders. If momentum holds, a breakout above $5.42 could lead to broader gains as confidence in the ecosystem rebuilds.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.