ICP Volatility Spikes as Traders Navigate Key Support and Resistance Levels

Internet Computer’s token, ICP, experienced notable price volatility in early August 2025, with traders navigating key resistance and support levels amid mixed market sentiment. On August 11, ICP surged to a high of $5.75, only to experience a sharp pullback driven by heavy distribution and profit-taking, falling to $5.43 within the same trading day [2]. The intraday swing of $0.31 reflected typical orderflow-driven behavior near historical resistance levels, with no official announcement from the DFINITY Foundation or major crypto exchanges attributing the movement to protocol changes or external catalysts [2].

The sell-off saw a trading volume of 965,595 units, and buyers subsequently defended the $5.44 support level, triggering a partial rebound [2]. This pattern aligns with ICP’s historical volatility, especially around round numbers and high-volume trading periods, suggesting a continuation of prior distribution cycles [2]. While the price movement remained localized to ICP order books with no broader market impact, it highlighted the influence of active trading strategies and resistance defenses at key price levels [2].

In the days leading up to August 11, ICP demonstrated a mixed but cautiously optimistic technical profile. On August 5, the token rose to $5.59, up 1.19% in the past 24 hours, supported by weak but present bullish momentum [1]. The Relative Strength Index (RSI) was recorded at 54.92, indicating neutral territory with room for further upside [1]. A volume spike on August 8 pushed the price above the $5.36 resistance level, setting the stage for continued stability in the following days [1].

Despite the short-term bearish correction, technical indicators remained generally supportive. The Moving Average Convergence Divergence (MACD) histogram showed a positive reading of 0.0315, with the MACD line at 0.0230 above the signal line at -0.0085, pointing to bullish momentum [1]. ICP remained above key short-term moving averages, including the 7-day and 20-day at $5.41, but below the 200-day SMA at $5.71, indicating long-term resistance [1]. The Stochastic oscillator was near overbought levels, and Bollinger Bands positioned ICP at 0.6897, suggesting the token was in the upper portion of its recent price range [1].

Key support and resistance levels have emerged, with immediate resistance at $6.14 and stronger resistance at $6.25 [1]. On the downside, support is currently positioned at $4.86, with stronger support at $4.46 [1]. Pivot point analysis places the critical level at $5.62, closely aligned with the current price, signaling a crucial turning point for the token [1].

Looking ahead, some analysts have projected cautious optimism, with one forecasting ICP to reach $5.78 in September 2025, $5.88 in January 2026, and $6 in June 2026, based on a monthly growth rate of 0.42% [6]. Meanwhile, technical analysis from Bitget labeled ICP with a "Strong buy" signal based on 4-hour and daily charts [7].

Traders are advised to implement tight risk management due to ICP’s daily volatility of $0.31 [1]. A favorable risk-reward setup exists for short-term traders, with entry points near $5.56 and stops below $5.30 [1]. Conservative investors may prefer to wait for a confirmed breakout above $6.14 or a pullback to $4.86–$5.04 [1].

In conclusion, Internet Computer appears to be in a period of consolidation following a volume-driven breakout. Neutral RSI conditions, bullish MACD momentum, and strong support around $5.41 create a constructive environment for the next 24–48 hours [1]. Traders should closely monitor volume levels, as sustained buying interest above 6 million units could drive the token toward the $6.14 resistance target [1].

Source:

[1] ICP Price Surges to $5.59 as Internet Computer Shows Bullish Momentum Above Key Support (https://blockchain.news/news/20250811-icp-price-surges-to-559-as-internet-computer-shows-bullish)

[2] ICP Retreats From $5.75 High Amid Heavy Distribution (https://www.coindesk.com/markets/2025/08/11/icp-retreats-from-usd5-75-high-amid-heavy-distribution)

[5] Internet Computer price slips 1.59% as broader crypto sentiment deteriorates (https://tradersunion.com/news/cryptocurrency-news/show/430149-internet-computer-dips/)

[6] Internet Computer(ICP) Price prediction (https://www.bitget.com/price/internet-computer/price-prediction)

[7] Internet Computer price USD live chart (ICP/USD) (https://www.bitget.com/price/internet-computer)