- Despite the price hike, bearish sentiment around ICP was dominant in the market.
- Derivatives metrics looked bullish, but several indicators suggested otherwise.
Internet Computer [ICP] has showcased a brilliant performance in the recent past, thereby increasing its market capitalization. Thanks to the recent price uptick, it became the 16th largest crypto by market cap.
Considering ICP’s growth rate, should investors expect ICP to enter the top 10 list anytime soon?
A look at ICP’s performance
2024 began with a bull rally for ICP as its price rallied substantially. According to CoinMarketCap, ICP was up by more than 72% in the last seven days.
In the last 24 hours alone, its value surged by 20%. At the time of writing, ICP was trading at $15.31 with a market capitalization of over $6.9 billion.
The good news is that the price hike was accompanied by a 100% increase in trading volume, which by and large is a typical bull signal.
Because of the massive hike in price, its Social Dominance spiked recently as expectations from the token increased. Its Price Volatility 1w shot up as well.
However, despite the value uptick, bearish sentiment around the token surged, as evident from the dip in its Weighted Sentiment. Development Activity around the blockchain sank over the last week as well.
Source: Santiment
Will ICP maintain its bull rally?
Considering ICP’s stunning performance over the last week, AMBCrypto analyzed whether the token would sustain its bull rally in the days to follow.
Our analysis of Santiment’s data found that Internet Computer’s Open Interest increased along with its price. A hike in Open Interest increases the chances of the current market trend continuing further.
Source: Santiment
Its Binance Funding Rate was also in the green, meaning that derivatives investors were actively buying ICP at a higher price at press time. However, CryptoQuant’s data flagged a red signal for.
Notably, Internet Computer’s Relative Strength Index (RSI) was in the overbought zone at press time. This might increase selling pressure on ICP, thereby putting an end to its bull rally.
More bearish signals were revealed when AMBCrypto checked ICP’s daily chart via TradingView, which showed that the price had touched the upper limit of the Bollinger Bands.
How much are 1,10,100 ICPs worth today?
Its Chaikin Money Flow (CMF), registering a downtick, went below the neutral mark.
Nonetheless, InternetComputer’s MACD displayed a bullish advantage in the market, while its On-balance Volume (OBV) remained high.
Source: TradingView
