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What’s Next for Internet Computer?

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Internet Computer (ICP) price has been in a bearish trend, marked by a significant correction from a local high of $21.28.

This sharp decline has brought the price down to its current range, fluctuating between $12.1 and $14.

Internet Computer Price Action

The ICP price fluctuates between $12.1 and $14, a crucial range characterized by two significant 1-day baseline plateaus.

Additionally, the price is confined between the 100-day and 200-day exponential moving averages, reinforcing this range and explaining the recent price action following the sharp correction from the local high of $21,28.

Internet Computer Price Analysis. Source: TradingView


Internet Computer’s Ichimoku Cloud Analysis and Components on Daily and Weekly Timeframes

The current price range of $12.1 to $14 is critical due to the overlapping of technical indicators, specifically the 1-day baseline plateaus and the exponential moving averages. This confluence creates a robust zone of support and resistance.

Read More: Internet Computer (ICP) Coin Explainer for Beginners

The Ichimoku Cloud, or Ichimoku Kinko Hyo, is a comprehensive technical analysis tool used in trading to identify trends, support, and resistance levels, and potential buy or sell signals. It consists of several components that work together to provide a “cloud” of information:

The shaded area between two lines (Senkou Span A and Senkou Span B) indicates support and resistance zones. If the price is above the cloud, it suggests a bullish trend; if below, it suggests a bearish trend.

The Base Line: A medium-term indicator that averages the highest high and the lowest low over the past 26 periods. It acts as a key support or resistance level and helps identify the general trend direction.

The 1D baseline plateaus at approximately $12.65 and $13.79 are pivotal points within this range. These baselines, derived from the Ichimoku Cloud, signify equilibrium levels where the price tends to gravitate, thus explaining the current consolidation.

Internet Computer Price Analysis. Source: TradingView

More significant than the 1D baseline plateaus, the 1W baseline plateaus at $8,13, $10,62, $11,92, $14,05, and $21.28 represent critical support and resistance levels. The 1W baseline plateaus have a stronger influence and provide a wider context for potential long-term price movements.

Analyzing Exponential Moving Averages:

The price of Internet Computer is currently oscillating between the 100-day EMA (around $13) and the 200-day EMA (around $12). The 100-day EMA provides immediate resistance, while the 200-day EMA offers support. The compression between these moving averages often indicates potential for a breakout once the price decisively moves out of this range.

The recent price action stems from a sharp correction from the local high of $21.28, which aligns with another 1W baseline plateau, representing a strong resistance level. This correction has brought the price down into the current range, where it is seeking stability.

The market is currently in a consolidation phase within this range. A breakout above $14, coinciding with the 1D baseline plateau and the Ichimoku cloud, could lead to a retest of higher resistance levels, potentially aiming toward the $15.76 level initially.

Conversely, a breakdown below $12.1 could see the price testing the lower support level at $10.62, aligned with the 1W baseline plateau.

Strategic Recommendations:

The market is currently consolidating, with the price hovering between key support and resistance levels.

Continued downward pressure may lead to further declines, but consolidation above $10.62 would indicate a stabilization and neutral sentiment.

Read More: Internet Computer (ICP) Price Prediction 2023/2025/2030

The ICP/USDT market is consolidated, trading within a critical range defined by key support and resistance levels. A breakout above $14, coinciding with the 1-day baseline plateau and the cloud itself, could lead to a retest of higher resistance levels, initially aiming towards $15.76.

Conversely, a breakdown below $12.10 could see the price testing the lower support level at $10.62, aligned with the 1-week baseline plateau.

Traders should closely monitor these key levels to identify potential entry and exit points while considering the overall market sentiment and the potential for reversing the bearish outlook.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.



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