What to Know
- ICP is up 5.93% outperforming a flat market amid renewed bullish sentiment.
- AI rebound and Caffeine launch drive optimism after SoftBank’s Nvidia-triggered selloff.
- The DeFi TVL has doubled to $48.7M, with 45% of the supply staked.
The Internet Computer (ICP) token went up 5.93% in the last 24 hours, which is better than the crypto market as a whole, which went down 0.69%. The move comes after a week of ups and downs, with selloffs in the AI sector, Bitcoin’s brief rise above $102K, and more and more investors interested in Internet Computer’s growing DeFi ecosystem. ICP is now trading between $6.11 and $7.18, and traders are looking for a possible breakout toward $8.10.
Technical Momentum
ICP broke above its important pivot point of $6.39, which showed that bullish sentiment was back. The MACD shows a positive crossover at 0.297, and the RSI is at 56.3, which means that the setup is neutral to bullish.
The price also went above the 38.2% Fibonacci retracement level ($7.09), which means that short-term traders have come back into the market after last week’s AI-driven selloff. As of now, momentum traders are looking for the next resistance level at $8.10, which is 23.6% Fib. The strong bounce from the recent low of $6.11 shows that bulls are taking back control, but ICP needs to close above $7.18 to confirm that the breakout is real. If ICP can’t hold $6.39, people might start taking profits, which could send it back to $5.45, a key support level that was seen during last week’s correction.
AI Sector Rebound After SoftBank Shock
ICP was among the hardest-hit tokens on Nov 11, when SoftBank sold its $5.8B Nvidia stake, sparking an AI-token selloff that wiped out 7% from the sector. Internet Computer dropped 8% alongside NEAR and other AI-linked coins as investors rotated away from speculative AI assets. But as Bitcoin rose and worries about a “AI bubble” faded, AI tokens started to rise again, with ICP leading the way.
ICP’s price movement is closely linked to the AI story because its Caffeine AI platform makes it a mix of blockchain and AI. Traders seem to be “buying the dip,” betting that Caffeine’s no-code AI app builder will lead to long-term use. Earnings from Nvidia on November 18 may change people’s minds again. Strong results could back up the AI story and raise ICP even more, while weak numbers could put more pressure on AI-linked tokens.
Ecosystem Growth
Internet Computer’s on-chain metrics show real progress, not just guesswork. According to DeFiLlama, the supply of stablecoins rose 45% in just a week, passing $6 million. The total value of DeFi TVL has also doubled to $48.7 million since November 1. The launch of Caffeine AI and the addition of Bitcoin DeFi through Chain Fusion have made ICP more useful. Almost 45% of the ICP supply is also currently staked, which means there isn’t much selling pressure.
These signs of growth point to a healthier ecosystem with more users and more money flowing through it. A locked supply, more use of DeFi, and AI tools could all work together to create a base for more stable, natural growth that isn’t just based on short-term speculation. In the next few weeks, we’ll see if ICP can keep developers interested and DeFi money coming in. If it can, this rebound will last.
Conclusion
Internet Computer’s rally reflects a perfect storm of technical strength, AI sentiment recovery, and on-chain expansion. The recent turbulence from SoftBank’s Nvidia exit and AI-token panic may have shaken weak hands but ICP’s fundamentals suggest resilience.
A breakout above $7.18 could open the path toward $8.10, while a slip below $6.39 may reignite short-term selling. With the AI narrative back in play and ecosystem metrics on the rise, ICP’s next move could define whether it becomes a leader of the next altcoin leg up or just another short-term bounce in a volatile market.
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