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Internet Computer’s native token ICP had a rough start that saw it lose a huge chunk of its value a few weeks ago and its price has remained subdued since then. However, its performance in the last few days highlights a strong recovery that has seen it double within a few days.
ICP is currently trading at $70.42 after rallying by 11.47% in the last 24 hours, making it one of the best performers. However, its performance in the last 7 days is even more impressive given that it has so far gained 88.88%, making it the best performing cryptocurrency in the top 50 list in terms of market cap. Speaking of, ICP’s market capitalization has been on the rise and is currently at $10 billion.
Why ICP is rallying
ICP’s recent price pump reflects a strong increase in buying volume after a recent report which revealed that canister smart contracts on the network increased to more than 2000. An impressive gain considering that there were just 58 a few weeks ago. The number of websites deployed on ICP is now close to 1,000 which is an indicator that the network is rapidly onboarding new users.
ICP’s rally has also taken advantage of the fact that the crypto market has been heavily bullish for the last three weeks, making it easier for the cryptocurrency to gain more momentum and soar as high as it has so far. It traded as low as $26 towards the end of July, and its bull run this month saw it go as high as $76. However, ICP is still a long way off from its all-time high of $737.
The cryptocurrency’s price crashed hard in the first few weeks of its launch as early investors cashed out. Many also saw the price drop as a sign that many investors had little confidence in the project considering the gravity of its endeavor to become the future of the internet. Additional concerns were raised about the project such as the fact that it seems to be very centralized, causing more FUD that fueled its spiraling price decline. However, it turns out the project has been gradually growing its user base and will likely continue to do so in the future.
Why registering more websites and applications will deliver more organic growth
ICP might potentially continue to experience more organic growth as Internet Computer continues to onboard more websites and users. This is the goal that every crypto network hopes to achieve and so far it looks like the early concerns are not enough to stop Internet Computer from achieving its objectives. So far the project seems to be on a good trajectory and more user growth should create more demand for the ICP token which is used to pay for hosting.
It helps that ICP has a low circulating supply at just 136.8 million coins. The coin has the potential to unlock impressive levels of growth if it will attract even a few percent of the current internet user base. The potentially high growth levels will lean towards the realm of possibility as the world shifts in favor of the internet of value.
