ICP price surges 222% and outperforms Shiba Inu? This is the main factor!

Shocking news came from the crypto world as the Internet Computer Protocol (ICP) token recorded a spectacular price increase. With a price surge of up to 222%, ICP made headlines in the crypto market, outperforming Bitcoin's volatility and even reversing Shiba Inu's position in market capitalization. Is this a sign that ICP will be a profitable crypto investment for you?

ICP Steals the Show

ICP relies not only on Bitcoin price fluctuations, but also on the usability and unique features it offers. One such feature is the ability to store value and stake through the Network Nervous System (NNS). The NNS functions as a DAO of the Internet Computer blockchain, allowing users to participate in an open, permissionless governance system by staking ICP tokens on neurons. With this system, users can vote on proposals submitted by anyone to determine important decisions. Internet Computer's aspiration to turn blockchain infrastructure into a "world computer" has driven it to operate in a decentralized manner without relying on conventional IT backends. This provides important context for understanding the significant rise in ICP prices.

ICP Price Analysis

ICP volatility increased sharply in the past week, driven by a 135.0% surge in trading volume. Meanwhile, ICP's circulating supply increased by 1.08% during the week, signaling the presence of more tokens in the market that could put downward pressure on its price. However, a crypto trader named Flying High pointed out that ICP has formed a "U" bottom indicating bullish potential. The price break above $14 in the weekly market structure is a positive development, with the anticipated buying zone being in the $10-$11 range during the price drop. With an ambitious decentralization roadmap and chart signals supporting the continuation of the bullish trend, ICP may be poised for a more sustained rise. Traders are now watching for an important break of the $20 level as further confirmation for further upside potential.

ICP Surpasses Shiba Inu

Source: Coingape ICP has shown consistent gains over the past month, with total open interest (OI) hitting a six-month high. The 18% rise in the last 24 hours has pushed the ICP price to $15.75 with a market capitalization of $7.13 billion, surpassing the Shiba Inu. ICP now holds the 16th spot as the crypto with the largest market capitalization. ICP's daily trading volume surged 95%, reaching $580 million, with Binance accounting for about 36.6% of ICP's total trading volume. Although many investors are still considering short positions, the number of short and long contracts will be clearer after further price movements. Despite the strong price increase, ICP may face downward momentum, especially if its RSI remains above the 65 mark. Conclusion ICP's dramatic price rise has caught the attention of investors and crypto market watchers. With the potential shown through the innovation and adoption of blockchain technology, ICP might just be a crypto asset worth considering. However, as with any investment, risks remain and it is important that you do your research before jumping in.
*Disclaimer
This content aims to enrich readers' information. Always do your own research and use cold hard cash before investing. All crypto asset trading and investment activities are the responsibility of the reader.