ICP Climbs 5% as Token Burn and AI Tools Drive Renewed Momentum
Internet Computer Protocol’s native token ICP surged 5% to $5.57 in the last 24 hours, supported by a combination of technical strength and meaningful protocol developments.
Trading within a narrow $0.36 range, ICP found solid support at $5.21 during a volume spike that saw 1.43 million tokens change hands—more than triple its 24-hour average—according to CoinDesk data. The token maintained upward momentum through a series of ascending lows before hitting resistance near $5.58.
Driving sentiment was DFINITY’s launch of Internet Computer 2.0, a major upgrade introducing AI-powered tools that allow anyone to build decentralized applications using plain English prompts. The release opens the door for broader adoption by non-technical users and strengthens ICP’s position in the layer-1 ecosystem.
DFINITY also confirmed it has burned over 1 million ICP tokens in five months, reducing overall supply and reinforcing a long-term deflationary strategy. This combination of decreasing token supply and enhanced functionality is attracting institutional interest.
Technical Highlights:
- Key Support: $5.21 confirmed with high-volume reversal.
- Resistance: $5.58 capping upside for now.
- Trend Structure: Higher lows forming a bullish channel.
- Volume Surge: Institutional accumulation likely behind 3x spike in trading activity.
- Price Action: ICP held gains around $5.57 during the latest consolidation phase.
Together, the AI-enhanced user tools and deflationary tokenomics are creating a bullish narrative around ICP as it eyes further upside within a recovering crypto market.
