Internet Computer (ICP) faced a sharp intraday reversal after reaching its recent high of $5.76, with price action turning bearish amid heavy selling pressure. Despite the technical rejection, the project continues to dominate development rankings across the entire crypto ecosystem.
ICP Faces Strong Rejection Near Resistance
After rallying from an intraday low of $5.28, ICP surged to $5.76, testing a well-defined resistance level. The bullish momentum quickly faded, triggering a sell-off that pushed the price down to $5.59. According to on-chain volume data, 897,725 tokens were exchanged during the upward move ā well above daily averages, indicating strong interest from both bulls and bears.
A 42-minute decline from $5.76 to $5.66 marked a critical rejection, with sellers regaining control near the upper end of the range. This 8.3% swing highlighted the volatility and caution in current market conditions.
Support Holding Despite Bearish Momentum
While the sharp rejection cooled off buying interest, ICP has managed to hold above $5.59 for now. Support at $5.28 remains a strong accumulation zone, as seen earlier in the session when the price rebounded sharply from that level.
Analysts see $5.66 as short-term support, with further downside likely if this level breaks. However, the assetās consistent bounce from the lower range could indicate buyer commitment, especially if sentiment in the broader market stabilizes.
Development Activity Leads the Crypto Sector
Despite recent price weakness, Internet Computer ranks #1 in GitHub development activity, according to Santimentās latest report. ICP leads over major projects like Chainlink and Filecoin, signaling long-term ecosystem strength and sustained developer interest.
This development lead reinforces ICPās position as one of the most actively evolving blockchain platforms, even as traders remain cautious about chasing short-term highs.
Outlook: Technicals vs. Fundamentals
ICPās recent pullback reflects the marketās sensitivity to resistance levels and broader volatility. However, the projectās top-tier development status may continue to support long-term investor confidence.
As of now, ICP trades around $5.43, with key levels at $5.28 support and $5.76 resistance. A clear breakout above resistance could signal renewed upside, while a breakdown below $5.59 may open the door for further correction.
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.