Internet Computer Slips Below Key Support as Altcoin Rotation Intensifies
Internet Computer (ICP) fell 4.85% on Tuesday to $5.91, sliding from a Monday high of $6.25 and briefly touching an intraday low of $5.81. The decline came amid broad selling pressure across the altcoin market, as traders rotated out of speculative assets, including those tied to AI and DeFi narratives.
The price action unfolded despite positive news from the DFINITY Foundation — the developers behind Internet Computer — which announced a partnership with indexing firm Maestro. Backed by DFINITY funding, Maestro aims to launch a Bitcoin metaprotocol index on the Internet Computer, offering institutional-grade access to Ordinals and Runes, two leading Bitcoin-native DeFi primitives.
Still, the market remained focused on near-term technicals. ICP opened at $6.22 but steadily declined, breaking below the psychologically significant $6.00 mark around 01:00 UTC. The move triggered a surge in sell volume, with more than 1.3 million tokens traded during the breakdown toward the $5.83 support level.
During U.S. trading hours, ICP fell another 2% — from $5.97 to $5.87 — with notable selling pressure as prices sliced through multiple support levels. A short-lived bounce to $6.02 failed to hold, reinforcing $6.00 as a near-term resistance level. According to CoinDesk’s technical data model, bearish momentum remains dominant unless bulls can reclaim that threshold with conviction.
Technical Summary:
- Intraday Range: $5.81–$6.25 (7.3% spread)
- Total Volume: 1.94 million tokens traded; peak activity during breakdown below $5.90
- Resistance: $6.00–$6.02 remains a ceiling after failed rebound attempts
- Support Zone: $5.83–$5.87 held under high-volume pressure
- Volatility Spike: ICP dropped 2% between 13:09 and 14:08 UTC, driven by intense sell bursts exceeding 50K tokens per minute
- Overall Spread: $0.4383 reflects elevated intraday volatility
With sentiment fragile and capital rotating toward Bitcoin and select large caps, Internet Computer may struggle to regain upward momentum without a decisive break above $6.00. Until then, technical risk remains tilted to the downside.
