Internet Computer Price Analysis: Will a bullish pattern hidden in the KPI help propel the price to $10?

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  • The price of Internet computers rose rapidly last night with an 11% gain in a single day.
  • ICP coin price is drawing a double bottom formation near the 5.0 support level.
  • Buyers were aggressive last night, hence the above-average buying volume.

The internet computer part is placed laterally inside the horizontal border. Both the bears and the bulls are trying to maintain their dominance over the well-given altcoin, as a result, the bulls have set their coverage zone at $5.0 above the 2022 low; On the other hand, the bears look aggressive in the $6.5 area.

In early June, buyers saw a sharp decline and recorded 2022 lows of 4.6 points. During the hedge, speculators have been on a rollercoaster ride over the past 30 days. Thus, the price action of ICP Coin forms a double bottom formation on the daily time frame.

There is resistance near the neckline of the double top pattern of the ICP coin (at $6.5). Therefore, the altcoin price with the USDT pair is facing a pullback here today. Thus, the altcoin is trading at the $6.11 level at the time of writing. Similarly, the bitcoin pair corresponding to the bitcoin pair is in the green zone at 0.0002806 satoshis.

If the ICP price breaks the $6.0 immediate support line again, the given bullish pattern could turn into a bear trap. If that happens, the consolidation could continue over a wide range of time frames. But still, the internet computing coin is bullish 15% this week.

Why is the ICP price showing a correction?

During a retracement, the upper band of the Bollinger Bands indicator appears as a downside cover zone. Meanwhile, the middle of the band (20-day moving average) of the lower indicator could serve as the most recent support for the bulls.

Moreover, the RSI indicator finally settled above the half line (50 mark) after a 4-month consolidation. But the RSI peak has halved again against the backdrop of the daily price chart window. If the RSI breaks below this support, the ICP price could drop further towards the $5.0 mark.

Conclusion

Internet computing investors are struggling near the neckline of the double bottom formation. So, if the altcoin price consolidates in this area for more than two days without breaking the 20 DMA, a bullish breakout could occur.

Technical levels

Support level – $6.0 and $5.0

Resistance level – $10 and $20

Disclaimer

The views and opinions expressed by the author, or anyone named in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing in or trading crypto assets involves the risk of financial loss.

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