More Upside Ahead or Just a Short-Term Spike?

• Internet Computer is trading at $2 after 6% jump.
• ICP’s daily trading volume has reached $124M.

With the digital assets going with the bears, the market is red in colour and suffering extreme fear. Back-to-back attempts to escape the trap are rejected. Modest spikes cannot even be taken as bullish fluctuations. The majority of the tokens are charted in red, including the largest assets, Bitcoin (BTC) and Ethereum (ETH), which hover on the downside. 

Among the altcoins, the Internet Computer (ICP) has posted a gain of over 6.2%. In the early hours, the asset traded at a low of $2.33. With a bullish turn, the ICP price has risen to a high of $2.70. Currently, Internet Computer trades at $2.56, and the trading volume has reached $124.33 million. Besides, the market has seen a 24-hour liquidation of $696.47K worth of ICP.

The bullish momentum of Internet Computer could push its price up to its resistance range at around $2.67. If the upside pressure gained more traction, the golden cross might take place, and lead the price action above $2.78. Assuming the bears take control, the price of Internet Computer may fall immediately to find support at $2.45. Upon the bearish correction strengthening, it initiates the death cross to unfold, and the price would move below $2.34. 

Internet Computer Shows Strength: Can the Uptrend Continue?

Internet Computer’s Moving Average Convergence Divergence is found above the signal line, which implies the presence of bulls. The asset may continue moving higher in the near term. However, the strength of this signal depends on whether the MACD continues rising. 

Moreover, the Chaikin Money Flow (CMF) indicator is positioned at 0.13, hinting that buying pressure is stronger than the selling pressure. Also, the money is flowing into the asset, showing accumulation. If the value moves higher, it likely helps strengthen the ICP’s bullish trend.

The daily Relative Strength Index (RSI) at 72.35 indicates that Internet Computer is in the overbought zone, with the price having risen strongly in a short period. There is a chance of a short-term consolidation happening. If buying continues, the uptrend can still extend. 

Additionally, ICP’s Bull Bear Power (BBP) reading of 0.323 suggests that buyers are in control, with bullish pressure outweighing selling. The price is holding above its average level. If it continues to rise, it supports further upside, while a move back to zero weakens the strength.