• ICP, the native token that powers the Internet Computer blockchain, has gained 4.5% on the day, taking its run of gains since last Monday’s lows to about 19%.
• ICP has been performing well in recent days, moving back to the north of both its 21 and 50-Day Moving Averages for the first time since early December.
• Price predictions for ICP are still not particularly bullish as the cryptocurrency is still nursing ugly losses on the month and year.
The Internet Computer (ICP) is a blockchain-based platform that can be used to build almost any online system or service. As such, its native token – ICP – has been performing well in recent days. According to TradingView citing Coinbase data, ICP/USD was last changing hands close to the $4.0 level, having gained about 4.5% on the day. That takes ICP’s run of gains since last Monday’s lows in the $3.30s to about 19%.
The latest rally has seen ICP move back to the north of both its 21 and 50-Day Moving Averages for the first time since early December. No obvious piece of news or new development appears to be behind ICP’s recent outperformance, and the fact that the cryptocurrency is still about 13% below earlier monthly highs in the $4.60 area, with ICP still on course to end the year around 84% lower, suggests traders probably shouldn’t read too much into the intra-day price movements.
The rest of this week is set to be a quiet one in cryptocurrency and traditional markets amid a lack of tier-one data releases out of the US and other major economies and amid low trading volumes as a result of many traders taking time off for Christmas and year-end celebrations. As a result, price predictions for ICP remain relatively bearish.
Despite the recent rally, ICP has been on a downtrend since mid-November and is unlikely to break out above the $4.60 level anytime soon. Analysts believe that the token needs to maintain its current levels of support in order to have any chance of breaking out. If ICP fails to break out above the $4.60 level, it is likely to remain flat in the near term.
Overall, ICP is still in a weak position and traders should be cautious when considering investing in it. Despite the recent gains, the token remains highly volatile and is still nursing ugly losses on the month and year, suggesting that price predictions for ICP are still not particularly bullish.