Internet Computer/Tether (ICPUSDT) Market Overview – 2025-11-04

Summary• ICPUSDT closed above 5.18 after a strong 24-hour rally from 3.75, with key resistance at 5.32 and 5.66.• Momentum is strong but showing early signs of exhaustion as RSI peaks above 70 and MACD diverges.• Volume surged 70% from 11:00 AM to 2:00 PM ET, coinciding with a sharp breakout and consolidation at 5.66.

Market Summary

Internet Computer/Tether (ICPUSDT) opened at 3.75 on 2025-11-03 at 12:00 ET, surged to a high of 5.75, and closed at 5.18 on 2025-11-04 at 12:00 ET. Total 24-hour volume was 50,975,676, with notional turnover at $254.9 million. The price action displayed a powerful bullish reversal after testing key support levels near 3.75.

Structure & Formations

ICPUSDT formed a textbook bullish reversal pattern over the last 24 hours, with key support at 3.75 and 3.85 providing a floor for the asset. After breaking above 5.00, the price formed a broad bullish flag pattern between 5.00 and 5.66, with the 5.32 and 5.66 levels acting as immediate resistance. A bearish pinocchio candle formed at the 5.66 peak, signaling a possible near-term pause.

Moving Averages

On the 15-minute chart, the 20 and 50-period moving averages crossed above 3.90, confirming the short-term bullish bias. On the daily timeframe, the 50 and 200-period MAs remain in a bullish alignment, with the 100-day MA at 4.60 acting as a key psychological support. The price remains above all key MAs, reinforcing the long-term bullish trend.

MACD & RSI

The MACD line turned negative in the last 15-minute candles, suggesting a short-term pullback may be due after the sharp rally. RSI reached 72, indicating overbought conditions and increasing the probability of a retest of the 5.00–5.20 range. Divergence between price and momentum indicators suggests caution for short-term traders.

Bollinger Bands

Volatility expanded significantly as the price moved from 3.75 to 5.75, with the Bollinger Bands widening from 0.30 to 0.70. The 5.18 close sits just below the 2σ upper band, indicating the move has pushed ICPUSDT into overextended territory. A pullback into the middle band is likely in the near term.

Volume & Turnover

Volume spiked sharply between 11:00 AM and 3:00 PM ET, coinciding with the breakout above 5.00 and consolidation at 5.66. Notional turnover increased by 70% during this period, confirming the strength of the move. Price and volume aligned well, but the recent divergence in MACD raises questions about the sustainability of the rally.

Fibonacci Retracements

Fibonacci levels drawn from the 3.75 support to the 5.75 high show key retracement levels at 5.06 (38.2%) and 4.76 (61.8%). The 5.18 close is close to the 38.2% level, suggesting it may act as a pivot for near-term consolidation. A breakdown below 5.00 could see the price test the 4.76 level next.

Backtest Hypothesis

To rigorously test the “hold until the next resistance level” strategy, the following parameters are proposed: use daily candlesticks, define resistance as the most recent 20-day pivot high, and apply a 20-day holding period cap. Price data will be sourced from ICPUSDT spot closes on Binance. By automating this logic, we can identify and back-test every Bullish Engulfing pattern since 2022-01-01. This approach will allow us to evaluate both profitability and risk-adjusted returns under the defined rules.