Internet Computer (ICP) is trading at $8.117, up by 3.82% in the last 24 hours. Technical indicators depict this upward momentum by suggesting that ICP has the possibility to rally even more.
Price Action and Trend Analysis
ICP has made a bullish recovery from its recent low of $7.152, which is near the lower Bollinger Band.
This bounce has placed ICP above the 20-day SMA at $7.832, making the SMA a support level for its current bullish run. As the price nears the upper Bollinger Band around $8.512 traders may encounter resistance.
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ICP Faces Key Resistance at $8.512 as RSI Hints at Further Gains
The next resistance level ICP faces is around $8.512. The upper Bollinger Band is a resistance level where price could consolidate or even reverse downwards especially when profit taking occurs.
1-day ICP trading chart|source TradingView
However, if the level is cleared then the upward trend is likely to continue drawing more demand. ICP has its initial support at the 20-day SMA at $7.832 from where buyers could emerge if it pulls back.
The second support is found below the lower Bollinger Band at $7.152 providing a stronger support level as recent buying interest emerged from this area.
The Relative Strength Index (RSI) at 54.10 signals a moderate bullish sentiment. With RSI at this level there is still potential for an upward move before hitting the overbought level at 70.
Analyst Eyes $10.50 Target
From the analysis of cryptofrontio, it is evident that ICP is facing a major inflection point.
An upside breakout above the descending trend line with above average trading volume would mean that bears have lost control, towards the $9.00 –$11.00 range with the first interim target at $10.50.
source | X
On the other hand, if ICP doesn’t find its way above this level, it may contribute to further consolidation of the trendline and push the price back towards the lower support level with $7.20 as the closest support level.
The traders can further observe the volume and wait for the daily closing price to be above the trendline to affirm the signal of a bullish reversal.
Long-Term Investment Strategy
Analyst cryptodoc_ sees the current consolidation range between $7 and $9 presents an attractive entry zone for long-term ICP investors.
According to him, this area is considered to be a strong buying region for which DCA strategy is suitable for acquiring ICP during pullbacks.
Given ICP’s high market cap, the analyst views it as a “slow mooner,” suggesting that growth may be gradual.
He also added that short-term traders are expected to take profits at $11 and $14 levels which Cryptodoc_ has set as micro-targets if ICP’s current bullish trend continues.
For long-term investors macro targets are at $20 and $30 levels, indicating that ICP can continue soaring. The descending trendline resistance remains a key level to watch, as breaking above it could confirm a reversal and further price growth.
Predictions on ICP state that it may rally to $40 by 2030. Its market cap also increased by 6.94% it is currently at 3.94B according to Coinmarketcap.
