Despite witnessing a lot of reduction since the start of this month, ICP still holds 21% gains in the last 30 days but is likely to register more losses once the price falls below the $10.5 level.
ICP entered this month on a bullish note but quickly lost steam after topping at $16.3. It initiated a drop from that top level and started to roll over until the price reached a low of $9.6 two days ago.
In the middle of the storm, it rejected that low and bounced slowly on the lower timeframe. It recovered to $12.2 today and fell to a trading level of $11.3 at press time.
That bounce looks more like a retest, which seems to be ending at the moment. Taking a close look at this setup, ICP is charting another bearish pattern with a “head and shoulder” formation.
Such a setup is capable of sending the price to around $6 as soon as the right shoulder completes. From the look of things, the crackdown is likely to play out in the next few days.
A, it may remain calm above the $10.5 level for a while before cracking through the neckline of the H&S pattern. In the upcoming month, we can expect more roller coasters to take place.
ICP Key Level To Watch
The closest support levels to watch for a crackdown are $10.6 and the weekly $9.8. If those levels collapse, the next support level to watch for sell-off would be $8.6 and $7.4.
If the bearish pattern turns out invalid as a result of quick return of the bulls, the $11.9, $13 and $14.6 levels may be reclaimed as resistance before climbing higher.
Key Resistance Levels: $11.9, $13, $14.6
Key Support Levels: $9.8, $8.6, $7.4
- Spot Price: $11.34
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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