Internet Computer (ICP) faced a significant price retreat on July 23, pulling back sharply alongside the broader altcoin market correction. The decline came despite positive infrastructure developments in Bitcoin DeFi, signaling a pause in market enthusiasm after extended rally phases.
Resistance at $6.00–$6.10 Halts ICP Rally
ICP fell 5.35% within 24 hours, sliding from $6.01 to $5.69. The asset encountered heavy resistance around $6.00–$6.10, a zone that has previously blocked upward movement.
Multiple breakout attempts above $6.00 failed, confirming strong technical resistance and initiating a wave of sell pressure.
The steepest drop occurred around 13:00 UTC, when the price dropped from $5.97 to $5.62 in minutes. This move was accompanied by a massive volume spike, highlighting a potential institutional-scale distribution event.
Volume Spike Signals Institutional Selling Pressure
Trading volume during the decline surged to 2.58 million ICP tokens, which is nearly 4× the 24-hour average of 650,000. In the most intense 10-minute period, more than 100,000 tokens traded per minute — a clear sign of high-frequency or large-capital activity.
Volume-led price rejection suggests coordinated profit-taking or portfolio rebalancing among large holders.
Despite several small rebound attempts, price struggled to reclaim $5.83, facing constant resistance from sellers near the mid-range level.
Broader Market Rotation Adds Pressure
The pullback wasn’t isolated to ICP. Other top altcoins like SOL, AVAX, and ADA also registered declines, as traders rotated out of risk assets following strong gains driven by political and legislative catalysts earlier in the month.
The market appears to be cooling off following the recent Trump-related stablecoin news and DeFi optimism.
Analysts view this retracement as a healthy correction after a fast-paced uptrend in altcoins throughout Q2.
Support Now Established at $5.62
Technical levels have shifted, with a new support floor forming at $5.62, the low reached during the high-volume selloff. If this level fails to hold in the short term, the next support may lie closer to $5.30, where previous accumulation occurred in early July.
For bulls, a decisive break above $6.10 remains crucial to resume upward momentum in the near term.
Conclusion: ICP Faces Key Test in Coming Days
The Internet Computer token is now caught between resistance at $6.10 and support at $5.62, as market sentiment recalibrates. The next few sessions will be pivotal in determining whether ICP consolidates, rebounds, or continues its slide alongside other altcoins.
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.