ICP Closes the Year with a 30% Jump: Price Targets $14

• ICP increased by 29.10%, decoupling from the broader market trend.
• ICP formed a bullish pennant, triggering a break through the $10.15 resistance.
• The cryptocurrency may hit $14 if it maintains the current momentum.

At a time when most cryptocurrencies were either consolidating or experiencing major declines, Internet Computer (ICP) defied the trend. According to CoinMarketCap, the ICP price increased by 29.10% in the last 24 hours.

This increase implied that the cryptocurrency whose value has hit almost 3x in the last 90 days could be the best-performing asset in the last days of 2023. 

However, the surge might not be a surprise to ZAYK Charts, an analyst on X. On December 30, ZAYK posted that ICP had formed a bullish pennant on the 4-hour chart.

ICP Flips the $10.15 Resistance

A bullish pennant pattern occurs when an asset consolidates between converging support and resistance lines before making a strong upward move. After identifying the pattern, the analyst concluded that ICP could make a 20% to 30% increase.

At press time, ICP’s price was $12.95. From Coin Edition’s observation of the 4-hour ICP/USD chart, bulls had defended the $9.14 support on December 29. As a result, the cryptocurrency printed a strong green candle.

The candle also played a crucial role as ICP broke the $10.15 which had kept it in consolidation between December 20 and 28. Furthermore, signals from the Relative Strength Index (RSI)  showed that ICP’s momentum might remain bullish going forward.

This was because the RSI reading, despite being overbought has not led to a price reversal. The positive divergence was also obvious in ICP’s price action. This was due to the non-appearance of any red candle as the price crossed the $10.15 resistance.

$14 Could Be Next In Line

Should the position remain the same, then ICP might add another 10% increase in the short term. If this happens, the price might head toward $14. This potential was also confirmed by the Chaikin Money Flow (CMF).

As of this writing, the CMF had crossed into the positive region. Also, since the reading was still less than 0.20, ICP might continue trending to the upside.

Another indicator considered is the Open Interest. According to Coinglass, ICP’s Open Interest increased by 84.58% in the last 24 hours. This increase was proof that traders were capitalizing on the price movement for potential gains.

Concerning the price, the Open Interest increase means there was strength backing the uptrend. As the CMF indicated, the Open Interest also supported a move to $14. However, this would only be the case if market participants do not start booking profits.