ICP Rallies to $6.08 Before Sharp Reversal Amid Security Concerns

Internet Computer Protocol (ICP) saw a volatile 24 hours, climbing from $5.84 to a session high of $6.08 before succumbing to selling pressure.

The 5% swing unfolded within a $0.28 trading corridor, reflecting both strong buying interest and swift profit-taking, according to CoinDesk Research's technical analysis data model.

Early momentum carried ICP through multiple resistance points, with the rally peaking at $6.08 around 03:00 UTC on August 14. Elevated volume at these highs confirmed institutional selling activity, establishing a clear resistance zone between $6.06 and $6.08. On the downside, support developed in the $5.87–$5.90 range, where buyers consistently stepped in to absorb supply.

ICP’s volatility subsequently compressed sharply. The token traded in a narrow $0.04 band between $5.88 and $5.92 from 09:25 to 10:24 UTC, indicating a consolidation phase as traders reassessed positions.

Market sentiment had been shaken by a high-profile security incident at Bitcoin-based memecoin platform Odin.fun, which suspended trading after losing 58.2 BTC in a suspected exploit. The breach, which triggered a 40% collapse in ODINDOG’s value, scrutiny over Internet Computer’s security framework, particularly its “Sign-In With Bitcoin” authentication system.

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