ICP Price Hovers In Downtrend: Could Bulls Resist A Selloff?

• ICP is trading in a severe downtrend, it has reached its year’s lowest.
• Buyers have lost their strength and will be attempting a rebound.

The Internet Computer (ICP) token price was trading in a downtrend and failed to hold the gains for the past few weeks. Amidst the market bloodbath, the token encountered severe selloff and reached the 52 week low this week.

Follow on lower low swings were made and the sellers continued to push the token from the highs. As soon as the token breached the 200 day EMA mark, selling pressure took an aggressive turn.

A bearish crossover was spotted and the token faced multiple rejections from its 50 day EMA mark while attempting the pullback over the past few sessions.

At press time, ICP was trading at $7.13 with an intraday surge of 1.26%, reflecting neutrality on the chart. It has a monthly return ratio of -39.20% and 77.20% yearly, reflecting a long downtrend.

The pair of ICP/BTC is at 0.000125 BTC, and the market cap is $3.32 Billion. Analysts are bearish and suggest that ICP might continue to hover below the $10 mark ahead.

A Look at ICP’s Performance

Since the beginning of April, ICP has been in a correction phase, losing more than 60% over the past four months.

The short term trend is weak and sellers have persisted in pushing the token off from the highs. Until the token reclaims the $10 mark, the buyers might not revive the gains.

ICP Price Chart |Source: Santiment

The RSI curve is in the oversold zone, noted at 36, and signaled a bounce ahead. Meanwhile, the MACD indicator showed red bars on the histogram highlighting underperformance.

Out of 26 technical indicators, 14 indicators guided a sell rating, 10 displayed neutral cues, while only 2 were gave a buy signal.

This overall data signifies the seller dominance and revealed the underperformance of crypto asset.

Social Dominance Data Noted a Dip

The Social Dominance data revealed a dip and dropped to 0.107%, declining over 12% this week. Additionally, it indicates low activity on social media platforms.

Social Dominance Chart | Source: Santiment

The percent of stablecoin total supply held by the whales showed a consistent up move and noted a rise over 2% this week, noted at $56.249. This constant inclination highlighted the positive sentiment among the investors to hold the long positions in the token.

@infinityicp in his X post said that the worst days have ended when the investors were long in it and stayed calm.

I think we survived the worst scenario for $ICP.

The only thing I can say is that I'm so proud of myself for staying calm and for what I accumulated when it was terrible.

If you are a true #ICP lover, hit a like button #crypto #dfinity #ai #Altcoins pic.twitter.com/6OHtO7EfO1

— infinity.icp ∞ (@infinityicp) July 7, 2024

Source: X

Total Value Locked (TVL) Swims to Lows

Following the consistent price decline, the total value locked (TVL) of the token witnessed a follow-on decrease, dropping to $67 Million.

This severe decline in TVL data hints at a drop in the investor confidence, signifying a negative outlook.

The immediate support levels for ICP are $6.40 and $6, whereas the key upside hurdle is around $7.80, followed by $8.20. The Internet Computer token price failed to attain buying momentum and witnessed a consistent decline for the past few months. The short term trend is bearish and still no signs of recovery were noted on the chart.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.