Altcoins News: Internet Computer (ICP) Price Falls 25% After $6.50 Rally as Profit-Taking and Volatility Hit Altcoins

Key TakeawaysInternet Computer (ICP) dropped nearly 25% after peaking above $6.50 on Tuesday.Profit-taking and volatility erased much of its earlier 64% surge.Trading volume spiked to 20.48 million tokens — over 4x its 30-day average.ICP now consolidates near $5.00, with key support at $4.77 and resistance around $5.20–$5.40.ICP Pulls Back After Major Rally Above $6.50Internet Computer (ICP) experienced a sharp correction on Wednesday, falling to about $5.17 after a major rally earlier in the week. The decline represents a nearly 25% drop from its recent high as traders took profits following a rapid, 64% surge that lifted the token above $6.50.According to CoinDesk Research’s technical data model, ICP’s Tuesday rally shattered multiple resistance levels before reversing during the European morning session. The correction reflects both intense profit-taking and broader caution across the altcoin market.Trading Volume Surges 400% Above AverageTrading activity remained exceptionally high, with 20.48 million ICP tokens exchanged — about 418% above the 30-day average. This spike in volume highlights heightened market participation and rapid intraday swings between $4.77 and $6.35.Analysts note that such trading patterns suggest both speculative activity and ongoing institutional engagement, even amid heightened volatility.Technical Outlook: Support at $4.77, Resistance Near $5.40Technically, ICP is stabilizing above a key support zone around $4.77–$4.80, which has repeatedly attracted buyers over recent sessions. Resistance now forms between $5.20 and $5.40 — areas where past rallies have met selling pressure.A decisive break above this resistance range could renew bullish momentum and retest the $6.00–$6.50 region. Conversely, a drop below $4.77 would risk a deeper correction toward $4.50.Broader Market ContextICP’s volatility mirrors broader crypto market trends this week, where profit-taking and uncertainty have capped recent rallies. Despite the retracement, the token remains one of the better performers among large-cap altcoins, with strong liquidity and continued institutional trading interest signaling potential for renewed momentum, according to CoinDesk.