Internet Computer (ICP) Has More Downside of -15.43% Based on History

Internet Computer (ICP) Has More Downside of -15.43% Based on History

In Brief

  • The price of Internet Computer (ICP) has plummeted to $8.48, down by -35% over the past week.

  • Meanwhile, the market overall is down by -0.4% in comparison.

  • 11 historic occurrences of the engulfing pattern candle indicator suggest that prices could be headed lower.

Internet Computer has tumbled sharply recently, and unfortunately for investors historic price action suggest that the market is heading lower.

We can't predict the future, but we can analyze what happened in the past. Stack has analyzed the past performance of Internet Computer (ICP) in similar circumstances to try and estimate future price action.

Specifically, we inspected 11 earlier occurrences where the engulfing pattern candle was spotted and here is what we found.

Why Internet Computer's Price Might Be Moving Move Lower

Several situations very similar to this have happened in the past.

Over 11 past occurrences, Stack found that 100% of the time the price increase by a median -15.43% over the following 30 days.

For example, on June 23rd, 2021 we saw the indicator and a price move of Internet Computer move by 0%, only to then move by -8.2% over the following 30 days.

Internet Computer chart

The chart above shows the past occurrences of this indicator with the price.

What are the implications for investors?

It's important to remember that this is just one signal. Lots of factors can influence the price of any investment.

Crypto prices are can be influenced by social media, developer activity, the number of exchanges and on-chain activity. All of these factors are factored in when Stack ranks crypto projects.

{If you feel that other factors, including the global crypto market, are favorable given the suggested 7-day investment horizon. Then it might be a good trade, or a good entry point for longer term investors. We always suggest you do your own research (DYOR) before making any investment decisions. |It's critical to factor in everything

What else could be moving the price?

As mentioned above, several factors can influence the price of any investment. Here are some that Stack can help you track.

The broader market's movements

The crypto market is also down by a median -0.4%. Most cryptos are highly correlated, especially to Bitcoin and Ethereum. So this is likely affecting the price.

It's also worth paying attention to the global macroeconomic environment. As crypto investing becomes more widespread, it is increasingly becoming correlated to stocks as well.

Project developments

How active have the devs for Internet Computer been?

During the past 4 weeks there have been 596 commits on Internet Computer's Github account. This compares to an average of 2 commits per week.

Identifying significant changes in developer activity can highlight potential new products being worked on and identify abandoned projects that might be in decline.

Social media

Social media can have a substantial impact on cryptocurrency prices. Single tweets can often move markets. It can be hard to judge sentiment just by browsing Twitter, but you can use tools like Stack to monitor the growth of a project's followers.

Internet Computer's Twitter followers have risen by 0% over the past 7 days. You can view stats for other networks in the full report for Internet Computer.

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