Internet Computer (ICP) faced sharp selling pressure this week, falling nearly 6% in 24 hours as broader altcoin weakness swept across the crypto market. Despite a promising new partnership, ICP dropped below key psychological and technical levels.
ICP Price Slips to $5.81 Before Minor Rebound
On Tuesday, ICP declined from a high of $6.22 to a session low of $5.81, settling near $5.91 by the end of the day. The 4.85% drop marks one of the largest single-day losses for ICP in July, highlighting persistent pressure on mid-cap tokens.
The decline came amid high-volume liquidations, with more than 1.3 million ICP tokens traded as institutional sellers unloaded positions around the $6.00 resistance zone. This behavior mirrored a broader trend in the crypto market, where DeFi and AI-linked assets also saw strong outflows.
DFINITY and Maestro Announce Strategic Bitcoin DeFi Collaboration
Adding to the narrative, DFINITY Foundation – developers of the Internet Computer protocol – announced a new partnership with blockchain infrastructure firm Maestro. The collaboration is designed to support the launch of a Bitcoin metaprotocol index, bringing native access to Bitcoin-based DeFi primitives like Ordinals and Runes.
This development signals a growing push by DFINITY to expand Internet Computer’s role within the Bitcoin DeFi ecosystem, appealing to institutional investors seeking robust indexing and smart contract functionality.
Short-Term Technical Outlook: Bearish Below $6.00
Despite positive headlines, the technical structure for ICP remains weak. The breakdown below $6.00 triggered fast-paced selling, and a breach of the $5.83 support zone could invite further downside toward $5.50 in the near term.
Traders will likely watch for volume confirmation and a reclaim of the $6.00–$6.10 area before regaining bullish confidence. For now, momentum indicators point to continued selling pressure unless sentiment improves.
Outlook: Long-Term Fundamentals vs. Short-Term Volatility
While the ICP token may continue to experience volatility in the coming days, its long-term fundamentals appear to be strengthening, especially as it integrates more deeply with Bitcoin infrastructure.
If institutional support continues to grow through partnerships like Maestro, ICP could eventually position itself as a serious player in the Bitcoin DeFi landscape.
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.