Internet Computer (ICP) experienced a rollercoaster trading session, showing strong momentum early before reversing sharply by midday. The token climbed to a peak of $5.6781 but failed to hold gains, eventually retreating below key support levels.
Early Surge Fueled by Institutional Volume
ICP began gaining strength on July 13 at 17:00 UTC, supported by a steep rise in volume during early Asian trading hours. Between 02:00 and 05:00 UTC on July 14, the token surged from $5.47 to $5.68, marking a 5% move within a three-hour window. Trading volume exceeded 800,000 units, indicating strong institutional activity.
Bulls briefly pushed the price past resistance at $5.67, a historical ceiling that had previously capped upward moves.
Sharp Pullback as Key Support Breaks
Despite the bullish start, ICP faced intense selling pressure later in the day. By 16:05 UTC, the token had dropped to $5.45, marking a 1% decline in just one hour. The retreat was amplified by a volume spike of nearly 50,000 units during the 15:48–15:49 UTC interval.
This sell-off broke the key support level at $5.48, suggesting a shift in short-term sentiment.
Price action confirmed a bearish continuation pattern, with lower highs and sharp hourly declines.
Current Consolidation and Near-Term Outlook
As of 16:35 UTC on July 14, ICP is trading between $5.44 and $5.46, entering a tight consolidation range after the rapid retracement. The market is currently digesting the volatility, with both buyers and sellers waiting for directional confirmation.
Technical analysis shows a $0.28 trading range on the day, highlighting heightened volatility and a lack of directional clarity.
Market Sentiment and Next Steps
Despite the pullback, the earlier rally suggests that institutional interest remains, especially if the price reclaims the $5.50–$5.68 resistance zone. However, failure to hold above $5.44 could open the door to deeper downside targets.
In summary, ICP’s 4% midday drop reflects a highly reactive trading environment, where volume-driven breakouts are quickly tested by aggressive selling. The token remains volatile but structurally intact, with the next few sessions likely to determine whether this was a temporary pullback or a shift toward bearish momentum.
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.