- Internet Computer's ICP token surged to the highest point this year on Sunday.
- It has jumped from the year-to-date low of $2.87 to over $11.
- Internet Computer is rising because of its integration with Bitcoin.
Internet Computer (ICP) price continued its remarkable comeback during the weekend even as other tokens recoiled. The token surged to a high of $11.81 on Sunday, its highest point since May 2022. It has jumped by more than 265% from its lowest point this year, giving it a market cap of over $4.6 billion.
Why is ICP price rising?
Internet Computer is one of the biggest and most unique networks in the blockchain industry. Launched in 2021, the network comes with most features that developers need to build decentralized applications (dApps).
It differs completely with other layer 1 and layer 2 networks like Ethereum, Polygon, and Cardano in that it has more features in the network. Users can build and host their applications using its infrastructure.
Internet Computer also has smart contracts known as canisters. In addition, it is an Ethereum Virtual Machine (EVM), meaning that dApps created in its ecosystem can communicate with those built in Ethereum.
ICP price has jumped because of its embrace of Bitcoin, the biggest cryptocurrency in the world. This integration means that its canisters smart contracts can receive, hold, and send Bitcoin on the Bitcoin network. In other words, these canisters can work like other users holding Bitcoin on the BTC network.
The implication of this is that Internet Computer can be used to trade BTC, perform decentralized swaps, and handle other Bitcoin smart contracts features. It also has ckBTC, which is backed 1:1 by Bitcoin.
Bitcoin is growing its market share across key industries like NFTs. Ordinals, the biggest Bitcoin NFTs have become the biggest parts in the industry. Data by CryptoSlam shows that the volume of these NFTs has surged to by 190% in the past 30 days to over $674 million. The number of buyers rose to 42,947 while sellers soared to 39,740.
Therefore, investors believe that networks like Internet Computer and Stacks (STX) will gain more popularity as Bitcoin’s ecosystem continues.
Internet Computer (ICP) price forecast
The daily chart shows that the ICP price has jumped sharply in the past few months. Precisely, it has risen from the year-to-date low of $2.87 to over $11. It also flipped the important resistance at $8.22 into a support level. This price was its highest swing in February this year.
ICP is being supported by the 50-day and 100-day moving averages. I suspect that the coin will now form a bullish flag or a pennant pattern before resuming the bullish trend. It has already formed the pole of this flag pattern. If this happens, Internet Computer will likely retest the weekend high of $11.90.
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