ICP Nears Critical Resistance as Rally Gains Momentum

The ICP token is at a critical juncture after a strong rally from its summer lows, pushing its price back above $3. However, buyers are now facing a key resistance level that has historically capped upward movement. Despite this, network activity is showing signs of strength, with cumulative transactions surpassing 300 billion, supporting the recovery.

Recent on-chain data reveals a rise in 24-hour Active Addresses, coinciding with ICP’s price rebound. This uptick in activity suggests growing participation as the token approaches resistance. Additionally, the network has maintained robust economic activity, with weekly protocol fees reaching approximately $85,000, according to recent data.

ICP’s Weighted Sentiment has remained positive during its recovery, improving alongside the price action rather than weakening. The token has gained over 30% in the past month, trading around $3.30, $3.40. Recent ecosystem developments, such as the ICP’s Service Nervous System enabling a framework for decentralization, have also drawn attention to the network.

Technically, ICP is trading near $3.30 after recovering from the $2.60, $2.80 support zone. The immediate resistance lies at $3.50, a level that has previously limited gains. A decisive daily close above this barrier could signal further upside, shifting focus toward the broader $4.30, $5.00 resistance zone. Conversely, failure to break through could lead to another consolidation phase, with support around $3.00, $3.20.