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ICP Price Analysis: ICP Token Price Chokes After Latest Rise, Falls 10% in 24 Hours

  • ICP Token price fell 10% within a day after the latest jump in selling volume.
  • The coin price failed to rise above the 20 daily EMA.
  • The pair of ICP/BTC is trading at 0.001353 BTC with an intraday fall of -4.29%.

ICP Token price rose more than 80% within a week as the price found demand near the $29.5 mark. However, the jump in coin price failed to rise above the various resistance levels in the chart leading to the inevitable bearish reversal.

The opposition of the 20 daily EMA coupled with the resistance level of $50 pushed the bulls down, resulting in the latest downfall of more than 10%. The sloping 20 EMA is below the freshly made 50 EMA, projecting a bearish sentiment.

ICP Token trades at $45.42 and controls around 0.44% of the crypto market. Furthermore, the coin price decreased 13% in the intraday trading volume within the past 24 hours.

How does ICP differ from other coins?

Internet Computer claims it can complete transactions in as little as 1 to 2 seconds. It can complete transactions in a fraction of the time it takes to process Bitcoin transactions (which take 10 minutes) and Ethereum transactions (which take 15 seconds, depending on network traffic). Internet Computer claims to have an average block rate of 2.5 blocks per second (bps) and plans to increase it to 1,000 bps by 2021. ICP is more than just solving Ethereum’s problems. It has larger objectives to decentralize the internet and take on the $370 million cloud computing market.

Falling Social Volume Leads To A Fall ICP Token price

ICP token price observed a fall in social volume by 18.5%, and the social engagement lost around 34% as the twitter volume fell by 19.4% and Reddit volume decreased by 61%.

The coin price moved slightly below 100 and 50 4-hour EMA; however, the coin price has hung close to the 20 EMA, projecting the last attempt of the bulls to avoid downfall. However, Investors may soon see the price breach the 20 4-hour EMA as the price falls.

The relative strength indicator is bullish as the slope rose from the oversold zone to reach the heights of the overbought region in a very short time. On the other hand, the ADX indicator is projecting a fall in trend momentum as the ADX line dips.

Conclusion: The jump in ICP token price was because of a rise in social volume. The coin price may soon fall back to the $29 mark or even below. Investors hoping for the bullish reversal in the ICP would have to wait longer as the 20 daily EMA is strongly resistant. 

Support  – $39

Resistance – $50

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Vishal Dixit: Vishal Dixit is a technical analyst with over a year of experience in the Indian stock market. He likes to read, learn and practice more about cryptocurrency, Forex, and Equity. He possesses strong technical and analytical skills in the financial market which comes from a strong background as a chemistry graduate and chess enthusiast.