TLDR:

Internet Computer (ICP) price dropped 15% this week, now testing support near the $5 mark.
Matthew Dixon warns of a bearish triangle hinting at one more leg down.
RSI shows divergence with weakening momentum below the neutral 50 level.
XForceGlobal sees a bullish setup forming after a three-wave correction.

Internet Computer (ICP) appears to be entering a decisive phase after a prolonged downtrend, with traders split on its next major move. Analysts are watching the coin’s corrective structure, analyzing whether it signals another drop or a near-term reversal. 

While the price remains under pressure, key indicators suggest a potential continuation of the bearish cycle. Meanwhile, bullish traders believe current levels could offer an ideal setup for a future breakout. 

The current price of ICP sits at $5.06, reflecting a recent dip of 15% over the past week.

ICP price on CoinGecko

Internet Computer Bearish Patterns Suggest Another Leg Down

Veteran financial trader Matthew Dixon shared an analysis pointing to consolidation within a broader downtrend. 

According to his assessment, ICP has either completed a simple ABC correction or is forming an ABCDE triangle. Both patterns indicate temporary relief before the market resumes its downward trajectory. 

Dixon favors the triangle formation, which often appears before a final thrust lower, followed by a sharp reversal.

He also pointed to bearish divergence on the Relative Strength Index (RSI), noting higher prices but weakening momentum. With the RSI hovering below 50, bearish sentiment appears dominant. This suggests the recent recovery could be short-lived, with potential for ICP to test support between $4.50 and $4.00.

The correction higher in #ICP has either finished with a simple ABC OR it could morph into an abcde Triangle. Either way, this is just consolidation before another leg down. Triangle is preferred as its pre terminal, then Terminal thrust down before sharply HIGHER $ICP pic.twitter.com/eWVB8gXdtS

— Matthew Dixon – Veteran Financial Trader (@mdtrade) June 19, 2025

The pattern debate continues as the ICP chart reveals signs of consolidation. While ABC corrections often complete quickly, triangle structures can stretch out longer. 

The analyst argues that the current structure still supports a continued downtrend. Dixon expects a final move lower before any rally can take shape. Moreover, fractal patterns from the earlier breakdown remain consistent with ongoing corrective behavior. 

ICP Contrasting Viewpoint Suggests Bullish Setup

In contrast, analyst XForceGlobal highlighted a different narrative, focusing on a possible bullish structure emerging. 

He believes the recent move down completed a clear three-wave correction, touching a Fibonacci support zone. This setup could indicate a wave two bottom, preparing the ground for a new upward impulse.

He stressed the importance of sticking to larger timeframes and avoiding noise from minor fluctuations. According to his analysis, the broader trend might already be shifting after years of sustained bearish pressure on ICP holders.

$ICP#ICP holders are basically battle tested warriors. They’ve endured what’s essentially been a bear market lasting for over 4+ years.

But that narrative may be ready to change, very soon. Why? Because we’ve seen a clear 5-wave impulse from the lows (with minor market… pic.twitter.com/ehJUgYz9Mj

— XForceGlobal (@XForceGlobal) June 19, 2025

With Internet Computer’s current performance showing signs of both consolidation and exhaustion, the market remains on edge. The conflicting views highlight the uncertainty surrounding ICP’s next move. 

The post Internet Computer (ICP) Price Faces Crucial Test as Traders Warn of Bearish Patterns appeared first on Blockonomi.

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Filed under: Bitcoin - @ June 19, 2025 10:24 am