Internet Computer Falls 5% Amid Heavy Distribution and Volatile Price Action

Generated by AI AgentCoin World
Monday, Aug 11, 2025 12:22 pm ET1min read
ICP
--
Aime RobotAime Summary

- Internet Computer (ICP) dropped 5% to $5.43 after heavy selling pressure post-peak at $5.75, with trading volume doubling to 965,595 units.

- Buyers defended $5.44 support, triggering a partial rebound to $5.54 amid a 75,000-unit volume spike, suggesting institutional accumulation.

- Price fluctuated $0.31 between $5.75 and $5.43, with key resistance at $5.61 and support at $5.44 shaping volatility and market sentiment shifts.

- Despite ongoing distribution, ICP shows resilience through support level defense and upward pushes past $5.47, though breakdown below $5.44 risks bearish momentum.

Internet Computer (ICP) experienced a sharp reversal from its $5.75 peak on August 11, 2025, amid heavy selling pressure. The token initially appeared to be consolidating within a $5.65–$5.67 range before surging to its intraday high. However, after 11:00 UTC, the momentum dissipated as sellers took control, pushing the price down to $5.43—a 5% decline from the peak [1].

The sell-off was marked by a dramatic spike in trading volume, which reached 965,595 units—nearly double the 24-hour average of 487,064. According to technical analysis data, the distribution intensified around the $5.61 resistance zone, indicating both profit-taking and potential institutional selling [1]. This activity suggests a broader shift in market sentiment, particularly as traders locked in gains following the rally.

Despite the significant drop, buyers stepped in to defend the $5.44 support level, triggering a partial recovery. The rebound saw ICP rise from $5.46 to $5.54, fueled by a volume spike of over 75,000 units between 13:41 and 13:48 UTC. This volume far exceeded the typical hourly average of 18,500 units and pointed to possible institutional accumulation following the sharp sell-off [1].

The price action over the day showed a total range of $0.31, with ICP fluctuating between $5.75 and $5.43. The sideways consolidation before the breakout, the resistance at $5.61, and the subsequent support at $5.44 all played key roles in shaping the day's volatility. While the token remains in the red at the time of writing, the firm defense of key support levels and the subsequent push through $5.47 and $5.52 resistance zones suggest underlying resilience [1].

These developments indicate that while distribution has intensified around key price levels, the market has yet to find a clear direction. The ability of buyers to push the price back into positive territory after the sell-off demonstrates that demand remains intact. If buying pressure continues to outweigh selling, ICP could see further upward movement. However, any breakdown below $5.44 could trigger further bearish momentum [1].

Source: [1] 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)