ICP Breaks Key Support After 7% Decline Amid Heavy Institutional Selling
The Internet Computer Protocol (ICP) has witnessed a considerable decline, slipping 7% in the last 24 hours. The token dropped to $5.27, crossing below crucial support levels, which has raised concerns regarding institutional interest.
Key Points:
- ICP dropped from $5.67 to $5.27 between August 17 and 18, breaching a critical support line of $5.48.
- Trading volumes surged to 708,905 units, which is nearly double the average.
- Recovery attempts have been unsuccessful due to dominant institutional selling pressure.
Market data indicated that ICP fell under the $5.48 support during early trading hours of August 18, with trading activity escalating to 708,905 units, signaling coordinated selling by large investors. Attempts at recovery were brief, as the price fell back to $5.29.
The broader cryptocurrency market is experiencing bearish sentiment due to heightened concerns over U.S. inflation following last week’s higher-than-expected Producer Price Index (PPI) reading.
A downturn across the crypto landscape could amplify selling for tokens such as ICP, driven by risk-averse sentiment and diminished liquidity, leading investors to offload more speculative assets first.
Technical Analysis:
- ICP saw a 7% fall from $5.67 to $5.27 on August 17–18.
- Critical support level dropped below $5.48 during early trading on August 18.
- Trading volume reached 708,905 units, almost double the average daily volume of 386,248 units.
- Recovery attempts failed, demonstrating a 1.12% drop from $5.35 to $5.29.
- Current price fluctuations near $5.29 suggest diminishing institutional participation.
