ICP has seen a bear market since it was released at the end of 2021. It’s price dropped below $20 and fell more than 90% due to the release.
The token in question dropped amid allegations that it’s founding company, DFINITY, unloaded billions worth of Internet Computer tokens while barring their early investors from terminating their positions.
“The company behind the DFINITY project has been very opaque about its intentions, with some believing that it may be liquidating its own holdings to pay off debts,” wrote David Hayter in The Telegraph.
In addition to that, a correction in the rest of the cryptocurrency markets with Bitcoin also weighed on ICP’s bullish prospects.
On a historic basis, the Bitcoin and Internet Computer markets have largely moved together. So it’s unsurprising to see ICP go down when BTC dips in price.
ICP is still looking bullish for now, but to confirm a green trend, ICP will need to trade above it’s 50-day EMA near the $50 mark. That last happened in November 2021.