The Internet Computer (ICP) is displaying renewed bullish momentum as buyers defend key support levels and a potential reversal pattern takes shape on its chart. Rising trading activity and stronger network usage are reinforcing the recovery narrative, and a confirmed breakout could attract fresh demand to the asset.

ICP is the native token of the Internet Computer blockchain, developed by the Dfinity Foundation and launched in May 2021, which aims to host smart contracts and decentralized applications entirely on-chain as an alternative to traditional cloud infrastructure. At the time of writing, ICP is trading at $3.00 with a 24-hour trading volume of $169.23 million and a market capitalization of $1.67 billion, according to CoinMarketCap. The ICP price has surged by 12.07% over the last 24 hours.

Double Bottom Signals Potential Move Toward $6.20

Crypto analyst Crypto With Gopal revealed that the ICP price is showing a potentially bullish reversal after forming a double-bottom structure around the $2.00–$2.20 support zone, as detailed in a post on X.

Buyers have defended this area twice, highlighting strong demand and reducing downside pressure. The pattern suggests momentum may be shifting toward bulls, although confirmation remains dependent on a sustained move above resistance. A double bottom is a classic chart formation in which two failed attempts to break lower support, followed by a move above the intervening peak, are interpreted by technical analysts as evidence of exhausted selling pressure.

The $4.00 level now represents the critical neckline for ICP's setup. A decisive breakout above this barrier could validate the pattern and strengthen the path toward the projected $6.20 target. Rising momentum could attract additional buyers, but traders will likely monitor volume and confirmation closely before considering the breakout fully established.

Sharp Surge in Derivatives Activity

Data from Coinglass shows that ICP is seeing a sharp rise in derivatives activity, with trading volume climbing 123.95% to $218.09 million. Open interest has also increased 14.43% to $103.91 million, signaling stronger market participation and growing trader exposure. Open interest measures the total value of outstanding derivative contracts that have not yet been settled, and rising open interest alongside price gains is often read as new capital entering the market. The combination points to heightened interest in ICP and potentially greater volatility as traders position for its next major move.

Technicals Show Strong Bullish Pressure

According to TradingView chart analysis, a clear trend reversal is underway on the ICP price, breaking through the $2.00 level set in August and reaching $3.028, an increase of 10.71% per day.

The price has risen significantly above all major EMAs, retaking the 200 EMA at 2.586, with previous EMA levels between 2.36 and 2.50 now acting as new dynamic support.

Momentum signals strong buying interest alongside some short-term exhaustion. The 14-day RSI now stands at 75.49, well above its signal line of 59.99 and beyond the conventional overbought threshold of 70. While this indicates the market still has solid upward momentum, the elevated RSI suggests possible consolidation or a retest of the 2.58–2.80 zone before a move toward 3.20.

The upward direction in ICP's price is also supported by the improving broader crypto market trend, as the BTC price has started to climb. Bitcoin remains the dominant asset in the crypto market, and its direction frequently influences sentiment across altcoins including ICP.

ICP Network Processes 133 Million Transactions in One Day

Data from Chainspect, shared in a post on X, shows the ICP network witnessed a massive spike in activity over the weekend, with transactions rising 12.4% to a total of more than 133 million.

The network sustained an average throughput of 1,546 transactions per second, underscoring its capability to handle high demand without any central system infrastructure.

The event highlights ICP's positioning as a decentralized computing platform, particularly relevant for new artificial intelligence applications that require dependable and uninterrupted computing power. While transaction growth does not directly correlate with ICP price increases, sustained network usage may indicate growing ecosystem participation. For a platform whose value proposition rests on providing on-chain compute, usage metrics are among the most closely watched indicators of whether that thesis is gaining traction.

What Comes Next for ICP?

In the coming period, the key factor for the ICP price is defending the $2.58–$2.80 support region. A successful retest could give bulls the upper hand, moving the price toward the $4.00 level, while a breakout above that resistance could open the path to the $6.20 mark. High RSI values, however, may result in an initial consolidation phase.

This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.