Internet Computer (ICP) is experiencing a stark divergence between user growth and token price, falling 8.29% over the past month to $2.78 despite a 45% increase in daily new address creation.
Key Takeaways
- ICP daily active addresses rose 35% to 3,860 median active users between September 22 and October 21.
- Daily new addresses jumped 45% from 481 to 710 over the same timeframe, according to Santiment.
- Technical analysts are divided, with downside targets set at $2.40 and bullish recovery targets reaching $6.50.
Network Activity Rebounds From Summer Lows
Data from Santiment reveals that Internet Computer's median daily active addresses climbed roughly 35% to 3,860 between September 22 and October 21. That marks a clear recovery from the 2,838 median active addresses recorded between July 24 and August 22. Network activity peaked on October 14 and October 21, with both days topping 7,400 active addresses, while 16 of the month's 21 days ranged between 3,100 and 4,300.
New network participation grew even faster over the same windows. The daily median for new addresses expanded 45%, increasing from 481 to 710. Although Santiment noted that usage has returned to its first-quarter range, it remains about half of the level seen in early November 2025. During that peak, weekly active addresses averaged 9,500 as ICP rallied 166% to $7.80 following the Caffeine AI launch. At $2.78, ICP currently sits 64% below that high.
Technical Analysts Split on $2.50 to $2.85 Range
Market commentators remain split over whether current price action signals a deeper breakdown or a weekly accumulation floor, mirrorring technical uncertainty seen across other tokens like ADA's breakdown below key support levels.
Analyst nordin.eth noted that ICP broke below the neckline of a head-and-shoulders pattern on the 4-hour chart, setting a price target of $2.40—roughly 14% below current levels. He added that reclaiming $2.85 would quickly invalidate the bearish setup.
Conversely, analyst Giannis Andreou highlighted $2.60 to $2.80 as immediate weekly support. According to Andreou, reclaiming $3.30 to $3.60 could push ICP toward $4 to $4.50, with an extended target between $5 and $6.50. However, a weekly close below $2.50 would risk exposing $2 to $2.20. Separately, trader Nebraskangooner noted trendline support at $2.89 on October 20, after which ICP slipped another 4%.
Why It Matters
This disconnect between expanding on-chain user metrics and falling token prices illustrates how broader macroeconomic headwinds can suppress individual token performance. With CME FedWatch data showing an 80.5% probability of a higher Federal Reserve target rate by December 9, tight monetary conditions may continue to overshadow fundamental protocol adoption. Whether ICP can reclaim $2.85 or breaks beneath $2.50 will likely determine if organic adoption can overcome market-wide liquidity pressures.
