ICP defies crypto downturn with Caffeine-fueled rally and whale accumulation 

Web Laptop’s ICP token rallied for the fourth day, outperforming the broader crypto market amid hype over the announcement of its new AI-driven platform, Caffeine.

In response to information from crypto.information, Web Laptop (ICP) rose 8% to an intraday excessive of $5.66, pushing its market capitalization above $3 billion. The token is now buying and selling 32% above its year-to-date low.

Immediately’s good points, supported by a notable enhance in day by day buying and selling quantity, got here because the broader cryptocurrency market slumped, with whole market capitalization falling 2.2% to $3.4 trillion over the previous 24 hours.

ICP’s current rally was pushed by pleasure round Caffeine, an AI-powered growth platform from the Dfinity Basis, which just lately opened for alpha entry. The Dfinity Basis helps the event of the Web Laptop Protocol. 

Within the dwell demonstration on the World Laptop Summit in Zurich on June 5, founder Dominic Williams revealed that Caffeine will allow customers to create blockchain functions in actual time on ICP by means of pure language conversations, eradicating the necessity for conventional programming abilities.

The platform leverages ICP’s safe sensible canister structure and goals to democratize blockchain growth, making it accessible to a world consumer base by way of smartphones. As of press time, the alpha model is at the moment open for waitlist registration, with a public beta launch anticipated inside the subsequent month.

This surge in consideration round Caffeine seems to have sparked renewed investor curiosity in ICP, notably amongst bigger holders. 

Knowledge from Santiment exhibits an increase in whale accumulation of ICP, particularly amongst wallets holding between 1,000 to 1 million tokens. Such whale accumulation sometimes triggers FOMO amongst retail traders, who observe swimsuit, typically resulting in additional appreciation within the asset’s value attributable to elevated demand.

ICP value evaluation

On the 1-day USDT chart, ICP has damaged out of a multi-month descending trendline, signaling a possible shift in momentum.

It’s additionally moved above the higher boundary of a descending channel sample, including to indicators of a bullish reversal. ICP is buying and selling above its 50-day easy shifting common, which additional helps the bullish case.

On prime of that, each the MACD and RSI are pointing up, which exhibits patrons are stepping in and momentum is selecting up.

Primarily based on this setup, the subsequent probably goal is round $6.88, which strains up with the 23.6% Fibonacci retracement degree. If it breaks above that, bulls might intention for the subsequent main resistance at $8.53, the 38.2% retracement degree, about 51% larger than present costs.

Nonetheless, if ICP drops under the important thing psychological help at $5, it might slide additional right down to the subsequent main help round $4.20.