ICP Technical Analysis: Trading Below the Fibonacci Pivot Point of $90.71, Wait for Resistance Level of $90.26

Ankita  |  Sep 6, 2021

ICP is considered one of the major innovations of blockchain technology, along with Bitcoin and Ethereum. ICP in all is an innovation that allows smart contracts to run on web page speed, processes at a faster speed, and also provides efficient data storage technology to the developers. This platform is a revolutionary platform in the history of blockchain innovations. Let us look at the technical analysis of ICP.

Past Performance 

On Aug 30, 2021, ICP opened at $72.09. On September 05, 2021, ICP closed at $79.27. Thus, in the past week, the ICP price has decreased by approximately 9.65%. In the last 24 hours, ICP has traded between $77.13-$86.47. The volatility has been very high in the last 24 hours.

TradingView Chart

ICP Technical Analysis 

The ICP price has shown a constant rise in buying pressure from the demand zone, which has led the price to break out of the important resistance level at $77.35. The price has already increased by 7% after the breakout. The volumes also look good with the breakout. Therefore, we can expect the price to further continue its upward trajectory. However, let us look at the indicators.

At the time of press, ICP is trading at $84.56. And, the price has increased by approximately 4% from the day's opening price. Thus, we are witnessing a small pump in the price. To confirm the trend of the price, we will have to wait and see if the price is breaking the immediate resistance level at $85.20 or not. A long position can be taken if the price breaks this resistance level, and sustains above the price level.

On the daily chart, the MACD and signal lines are in the positive zone. Moreover, we can witness a bullish crossover by the signal line over the MACD line. Thus, the overall market momentum is turning bullish. Hence, the price may rise further and test the resistance level.

The RSI indicator is at 69.37%. It has a lot of potentials to rise and go above the overbought zone. It is constantly taking support of 47% mark and rising. Thus, buying pressures are slowly increasing. We have to wait and watch if buying pressures become strong enough to bring about a bearish trend reversal.

In short, when we look at all the oscillators, we can say that the price may continue to rise. However, we cannot rule out the possibility of a trend reversal. We have to wait and watch to see if an intermittent price rise is a corrective action or the beginning of a positive trend.

Day-Ahead and Tomorrow 

ICP is currently trading below the Fibonacci pivot point of $90.71. If the bulls remain strong till day end, then the price is likely to rise above the FIB resistance level of $90.26. Once the price sustains this level, it will highlight the next resistance at $103.79. Thus, traders will have an opportunity to go long.

If the selling pressure increases, the price may fall below the FIB support level of $74.34. After the breakdown, the price can test the next support at $67.93. Traders can accordingly take a short position. Thereafter, we have to wait and watch to get confirmation from the price analysis.

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