Bitcoin News Today: Internet Computer (ICP) Drops 4.85% on $1.3M Token Selloff Amid Crypto Market Correction Overshadowing Maestro Partnership

Internet Computer (ICP) experienced a significant price decline, dropping 4.85% to settle at $5.91, following a sharp selloff in which trading volume surged above 1.3 million tokens. The token reached an intraday low of $5.81 after hitting $6.25 the previous day, reflecting heightened market turbulence. The price action underscored broad liquidation pressures in the crypto sector, with multiple support levels breached as sellers gained control. Analysts noted that the volume spike indicated a concentration of selling activity, amplifying the downward momentum.

Earlier in the day, ICP dipped 2% to $5.87 during U.S. morning hours, with sell pressure intensifying as the price pierced key support zones. The 1.3 million token volume during this period highlighted increased trader participation in the downturn, suggesting a potential shift in market sentiment. Despite a brief attempt to rebound to $6.02, the token failed to reclaim a bullish trajectory, with bears maintaining dominance as long as the $6.00 resistance level remained unbroken.

The price weakness was not entirely unexpected. A recent failed attempt to close above $6.22 marked the fourth unsuccessful effort to reclaim overbought territory, signaling lingering uncertainty among participants. Market observers highlighted that the inability to break through key levels could trigger further consolidation or a breakdown below critical support. The channel’s lower boundary, already approaching $5, has become a focal point for short-term traders, who are bracing for potential follow-through selling.

While a partnership with Maestro—a Bitcoin DeFi infrastructure provider—took center stage as a bullish development, the token’s performance remained subdued. Maestro’s collaboration with the DFINITY Foundation aims to enhance Bitcoin integration on the ICP blockchain, enabling real-time data access for Ordinals and Runes. This initiative, which supports 200+ apps, is expected to attract developers to the ICP ecosystem. However, the broader market rotation out of altcoins, including AI- and DeFi-linked assets, overshadowed the positive news. Institutional and retail investors shifted capital toward Bitcoin and cash positions, deepening the pullback in smaller-cap tokens.

The broader crypto market has entered a phase of correction after a recent surge driven by speculative buying and favorable regulatory developments. With ICP’s decline aligning with a broader selloff in altcoins, analysts characterized the move as a “healthy correction” following overbought conditions. The drop in Bitcoin dominance to 59.7% and a surge in the Altcoin Season Index to 56 further illustrated the market’s cyclical nature. Traders are now evaluating whether the pullback signals a temporary consolidation or a more sustained shift in capital allocation.

Looking ahead, the path of least resistance for ICP appears to be downward in the near term, with bears poised to test the $5.00 psychological level. A decisive rebound above $6.00 would be critical for regaining buyer confidence, but current momentum remains tilted toward the downside. Market participants are advised to monitor key levels for potential support or resistance, as well as broader macroeconomic indicators that could influence risk appetite. The interplay between regulatory clarity and project-specific fundamentals will likely dictate the token’s trajectory in the coming weeks.