ICP Price Nears Critical Support: Are Bulls Running Out of Time?

ICP is entering a pivotal moment on the daily chart as momentum continues to cool and price action leans toward lower support zones. 

Recent sessions show a pattern of fading upward attempts, with sellers reasserting dominance and forcing ICP back into a defensive stance. The sequence of lower closes shows growing caution in the market, and bulls now face the challenge of holding key structural levels to avoid a deeper breakdown.

Momentum Signals And Trend Direction

Both the short-term and medium-term moving averages continue to slope downward, reflecting a market still controlled by bearish pressure. 

Daily chart for ICP/USDT (Source: TradingView)

The 9-day EMA signals weakening short-term momentum, while the 20-day EMA shows that the broader trend has not yet shifted in favor of buyers. 

Meanwhile, the MACD remains in negative territory, indicating a continued lack of bullish conviction, though its gradually tightening spread hints that selling pressure is beginning to ease. This softening may open the door to a potential stabilization phase if buyers begin stepping in.

The RSI sitting in the mid-30s shows that the market is approaching oversold conditions without fully committing to a reversal. 

That places ICP in a zone where downward drift remains possible, but accumulation interest typically begins to grow. A rebound in momentum from this area would signal that sellers are losing control and a reversal may be forming.

Support Levels And Breakdown Risks

ICP is hovering near a critical cluster of support levels at $3.039, $3.009, and $2.977. 

A strong defense of that region could stabilize price action and provide a base for upward recovery. 

If buyers step in with conviction, a move back toward mid-range resistance becomes more likely. However, failure to protect that support band could trigger a deeper correction and intensify bearish sentiment.

The order book highlights major bid walls below the current price that could act as last-line stabilizers in a severe sell-off. 

Significant liquidity sits at $1.300 (≈127K USDT), $1.500 (≈61K USDT), and $0.723 (≈28K USDT). These deep walls suggest strong interest from large buyers, but if broken, the projected losses—between 55% and 78%—would signal a capitulation event. 

Resistance Barriers And Upside Potential

If ICP manages to hold its lower support and stabilize, the first upside test lies at $4.659, followed by $4.908 and $5.050. These levels represent key historical reaction points and will determine whether any rebound can evolve into a larger trend shift.

In the order book, notable ask walls stand at $3.650, $5.000, and $5.050. 

Clearing the $3.650 wall could fuel an immediate move of around 9% toward the next resistance. Meanwhile, the heavy $5.000 wall acts as a major psychological and technical barrier—removal of that liquidity could allow ICP to rally nearly 50%. 

The $5.050 wall marks a decisive breakout point; surpassing it would confirm a major trend reversal.

Potential ICP Trade Setups

For long-side traders, the most attractive zone forms if ICP stabilizes above the current support cluster while momentum indicators begin to flatten or turn upward. A clean reclaim of short-term averages or a breakout above $3.650 would strengthen the bullish case, with potential exits near $4.659 or $4.908.

Short-side traders may look for rejection signals near resistance zones or downward EMA retests. Failure to break above $3.650 or a sustained rejection beneath the EMAs may offer favorable short entries, with exits targeted near $3.039–$3.009. 

A breakdown below that band offers continuation potential, but given the distance to deep bid walls, risk management becomes essential.

Outlook

ICP remains in bearish territory, but signs of weakening sell pressure suggest the market may be preparing for a turning point. 

Buyers must defend the lower support ranges decisively, while traders on both sides should monitor liquidity walls closely as they will likely dictate the strength and direction of the next major move.

Disclaimer: The information presented in this article is for informational and educational purposes only. It does not constitute financial advice. Ecoinimist is not responsible for any losses incurred. Readers should exercise caution before acting on this content.