ICP crypto extends 60% recovery—can it break $3.50 as sentiment cools?

Internet Computer [ICP] gained about 6% on September 29, climbing from the $3.15 price level to about $3.33.

The daily rise is only part of the story, as ICP has now recovered roughly 60% from its August low near the $2.05 price level. Although weakening social sentiment suggests traders are not fully convinced the rally will continue.

ICP recovery reaches a crucial point

ICP spent much of June and July moving lower before reaching its recent bottom in early August.

The recovery started slow but buying picked up during September. It reclaimed the $2.60 price level, crossed $3, and continued toward its latest high near the $3.48 area.

Looking at its current position above the main price averages shows that the recovery has developed for a while. What this means is that buyers have been able to maintain control for longer than a single trading session.

Trading activity has also increased as it approaches the $3.50 price area. This shows how positive the advance is, but the latest candle shows some resistance near that level. The price reached $3.48 before it went back toward $3.33.

That makes the $3.40–$3.50 price area the next area to watch. If it moves beyond it convincingly, the recovery continues. However, if it fails, traders who bought earlier might want to take their gains.