Internet Computer (ICP) Shows Recovery Signs Despite Recent Altcoin Selloff
Joerg Hiller Jul 24, 2025 20:53
ICP price currently trades at $5.62 (+2.14% today) as technical indicators suggest potential bullish momentum following the broader market pullback earlier this week.
Quick Take
• ICP currently trading at $5.62 (+2.14% in 24h) • Internet Computer's RSI at 53.99 shows neutral positioning with room for upside • Recent altcoin selloff on July 22 pushed ICP below key support, but institutional ETP listing provides positive backdrop
What's Driving Internet Computer Price Today?
The ICP price is showing signs of recovery after a challenging period marked by broader cryptocurrency market volatility. Most recently, Internet Computer experienced a notable decline on July 22 as part of a wider altcoin market pullback that saw high-volume liquidations push the token below the critical $5.83 support level.
However, this recent weakness comes against a backdrop of positive institutional developments. The launch of Valour's staking exchange-traded product (ETP) on the SIX Swiss Exchange on July 17 significantly boosted institutional visibility for Internet Computer. This development contributed to increased interest in ICP before the broader market downturn, demonstrating the token's potential for institutional adoption.
The current ICP price action reflects this mixed sentiment, with today's 2.14% gain suggesting that buyers are stepping in following the recent selloff. The 24-hour trading volume of $18.3 million on Binance spot indicates healthy market participation as traders assess whether Internet Computer can maintain its recovery momentum.
ICP Technical Analysis: Mixed Signals Point to Potential Reversal
Internet Computer technical analysis reveals a complex picture with several encouraging signs emerging from the recent weakness. The most significant indicator is Internet Computer's MACD, which shows a bullish histogram reading of 0.0214, suggesting that momentum may be shifting in favor of buyers.
ICP's RSI currently sits at 53.99, positioning Internet Computer in neutral territory with ample room for upward movement before reaching overbought conditions. This RSI level indicates that the recent selloff may have been overdone, creating potential opportunities for traders looking for entry points.
The moving average structure tells an interesting story about Internet Computer's current positioning. While the ICP price trades above both the 20-day SMA ($5.46) and 50-day SMA ($5.28), it remains below the longer-term 200-day SMA ($6.16), indicating that Internet Computer is in a transitional phase between short-term recovery and longer-term trend establishment.
Internet Computer's Bollinger Bands analysis shows the token trading within the middle portion of the bands, with a %B position of 0.5966. This positioning suggests that ICP has room to move toward the upper band at $6.28 if bullish momentum continues to build.
Internet Computer Price Levels: Key Support and Resistance
Based on current market structure, several critical Internet Computer support levels emerge as key areas for traders to monitor. The immediate support for ICP sits at $4.68, which represents a significant zone where buyers have previously stepped in. Below this level, Internet Computer strong support at $4.31 aligns closely with the 52-week low of $4.55, making this area crucial for maintaining the broader uptrend.
On the resistance side, ICP faces immediate challenges at the $6.25 level, with stronger resistance emerging at $6.32. These levels correspond to previous areas where selling pressure has emerged, making them critical for any sustained bullish breakout attempt.
The current pivot point of $5.54 serves as a key reference level for ICP/USDT traders. Trading above this level suggests short-term bullish bias, while a break below could signal renewed selling pressure for Internet Computer.
The daily ATR of $0.38 indicates that Internet Computer typically moves within a range that provides meaningful trading opportunities while maintaining reasonable risk parameters for position sizing.
Should You Buy ICP Now? Risk-Reward Analysis
For short-term traders, the current ICP price setup presents an intriguing risk-reward proposition. Based on Binance spot market data, Internet Computer appears to be forming a potential base following the recent selloff. Traders with higher risk tolerance might consider entries near current levels with stops below the $4.68 support level.
Conservative investors may prefer to wait for a clear break above the immediate resistance at $6.25 before considering positions. This approach would provide confirmation that Internet Computer has successfully navigated the recent weakness and established a more sustainable upward trajectory.
The institutional ETP listing provides a fundamental backdrop that could support higher ICP price levels over time, but traders should remain aware that broader cryptocurrency market sentiment continues to influence short-term price action significantly.
Risk management remains crucial given Internet Computer's sensitivity to overall altcoin market trends, as demonstrated by the July 22 selloff. Position sizing should account for the potential for continued volatility in the broader cryptocurrency market.
Conclusion
Internet Computer shows tentative signs of recovery with today's 2.14% gain, but the ICP price remains in a critical phase following recent market turbulence. The combination of neutral RSI positioning, bullish MACD signals, and positive institutional developments suggests potential for further upside, though traders should monitor the $6.25 resistance level closely. The next 24-48 hours will be crucial in determining whether Internet Computer can build on today's gains or faces renewed selling pressure at current levels.
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