ICP was only listed on the Coinbase exchange 10 days ago. The Internet Computer price went on to lose 86% of its value ever since.
There was quite a buzz surrounding the listing of ICP. The not-for-profit platform built by the DFINITY foundation aims to provide a public network for Decentralized App (DApp) developers that runs at web speed.
It has been considered a ground-breaking step forward in Blockchain development.
However, after the recent sharp decline in the Internet Computer price, Investors may be asking if it is much ado about nothing.
The 30-minute chart shows that ICP started trading on Coinbase at $660 and promptly slapped to a low of $262. The price did attempt to recover and traded close to $500 the following day.
The Internet Computer price has been declining steadily ever since. At yesterday’s low, it was down $86% from its opening day high.
I don’t know if this is a case of bad timing or a massively overvalued listing price. It’s possibly a combination of the two.
There is a small glimmer of hope emerging for longs.
The price has broken out of the recent downtrend in place from the 11th of May. The price action suggests that there may be some follow-through buying as investors use the cheap valuation as an entry point.
ICP is currently approaching horizontal resistance at $208, offered by a series of highs from May 17th. If the price can clear this level, there is potential for an extension to the 15th of May low at $235.
The price broke higher once the trend at $135 was cleared, therefore i copnsider this to now become a support level.
If the price fails to maintain this rally and falls back below the trend, it could signal further losses and further woes for those who bought into the opening day hype.
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