Why did the price of ICP go up?
Internet Computer (ICP) increased by 5.12% in the last 24 hours, outperforming the overall crypto market, which rose by 3.07%. The main factors driving this growth include advancements in AI integration, technical improvements, and positive chart signals.
- AI Integration Boost – The Caffeine AI platform is gaining popularity.
- Technical Upgrades – Subnet storage capacity has doubled to 2 TiB.
- Market Sentiment – Investors are favoring altcoins with strong development progress.
Deep Dive
1. AI and Crypto Momentum (Positive Outlook)
Overview: ICP’s Caffeine AI platform, which allows developers to create AI-powered decentralized apps without coding, has seen increased activity following a successful hackathon in September 2025. Additionally, Google’s AP2 protocol now enables AI agents to interact directly with ICP smart contracts (CryptoSlate).
What this means:
- ICP is closely tied to the growing AI trend influencing crypto markets in 2025.
- There has been a 37% increase in bridged Bitcoin (ckBTC) on ICP since August, showing growing use in decentralized finance (DeFi).
- Developer activity on ICP ranks #1 according to Santiment data (Daily Hodl).
What to watch: Adoption of ERC-8004, a standard for AI agent credentials, expected in Q4 2025.
2. Technical Upgrades & Bitcoin DeFi (Mixed Impact)
Overview: In September, ICP doubled its subnet storage to 2 TiB and introduced Chain Fusion technology, enabling native swaps between Bitcoin, Ethereum, and Solana without relying on bridges. Liquidium launched Bitcoin staking using ICP’s chain-key cryptography (CryptoSlate).
What this means:
- Reduced dependence on potentially risky cross-chain bridges improves security.
- Daily DeFi trading volumes increased by 14% month-over-month (Binance News).
- On the downside, ICP faces strong competition from established Layer 1 blockchains like Solana in the DeFi space.
3. Technical Breakout (Positive Outlook)
Overview: ICP’s price recently rose above its 30-day simple moving average (SMA) of $4.66, with the Relative Strength Index (RSI) at 34.35, indicating it is not oversold. The Moving Average Convergence Divergence (MACD) histogram turned positive, suggesting that bearish momentum is weakening.
Key levels:
- Support at $4.26 (78.6% Fibonacci retracement)
- Resistance at $4.89 (23.6% Fibonacci retracement); breaking this could push the price toward $5.16
Conclusion
ICP’s recent price increase is driven by strong AI-related developments, infrastructure improvements, and positive technical signals. Although the 24-hour trading volume ($80.7 million) is still below the 2025 average, ICP’s alignment with AI and DeFi trends in crypto suggests potential for further growth, especially if Bitcoin maintains its level around $112,000.
Key watch: Can ICP stay above $4.59 (50% Fibonacci retracement) through October’s Ethereum Fusaka upgrade?
What could affect the price of ICP?
Internet Computer (ICP) is balancing its AI ambitions with current market challenges, supported by important technology upgrades.
- AI App Growth – The launch of CaffeineAI could drive more users (positive if it gains popularity)
- Bitcoin DeFi Expansion – New cross-chain features tap into Bitcoin’s $1.2 trillion liquidity (big potential)
- Network Scalability – A 2 TiB storage upgrade supports more complex apps (good for long-term growth)
- Market Sentiment – Oversold RSI at 36.3 but altcoin season index down 21% (short-term caution)
In-Depth Look
1. AI-Powered App Ecosystem (Positive Outlook)
What’s happening:
ICP’s CaffeineAI platform, launched in beta on July 15, 2025, lets people build blockchain apps using simple language commands—no coding needed. Early tests show AI creating decentralized finance (DeFi) tools and social networks in under two minutes. Integration with Google’s AP2 protocol (CoinDesk) allows AI agents to make transactions on ICP, with over 22,000 agent-to-agent payments happening weekly.
Why it matters:
If widely adopted, ICP could become the “AWS of Web3,” attracting developers moving away from centralized cloud services. However, competition from other AI-focused blockchains like FET and TAO, plus unclear ways to make money from apps outside ICP, present challenges.
2. Bitcoin DeFi Liquidity Play (Mixed Outlook)
What’s happening:
ICP’s Chain Fusion technology now supports native Bitcoin swaps through Liquidium’s lending platform (CryptoSlate), with $450 million in Bitcoin collateral locked since August. A partnership with Maestro aims to bring Bitcoin Ordinals and Runes data on-chain, targeting Bitcoin’s $42 billion NFT market.
Why it matters:
Capturing just 1% of Bitcoin’s DeFi activity could add over $120 million in weekly trading volume for ICP. But a 10% price drop after Liquidium’s launch on September 23 shows that traders remain cautious about cross-chain projects.
3. Network Scalability Upgrades (Positive Outlook)
What’s happening:
On August 20, ICP doubled its subnet storage capacity to 2 TiB (DFINITY), enabling apps like Dragginz—a 3D MMORPG—to support over 1 million daily users. Node operators now earn 8.6% annual returns, up from 6.1% in the previous quarter, encouraging more participation.
Why it matters:
This upgrade boosts ICP’s transaction speed, making it competitive with Solana (ICP handles 10,000 transactions per second vs. Solana’s 19,500). However, developer tools still need improvement, and the 47 active subnets require over 30% usage to justify current costs.
Conclusion
ICP’s future price depends on turning its AI and DeFi projects into real user growth. Breaking above $5.20 could show strong momentum, while falling below $4.20 might continue the 52% yearly decline. With the RSI near oversold and the volume-weighted average price (VWAP) at $4.61, buying now carries some risk but offers significant upside if CaffeineAI takes off.
Key point to watch: Can ICP’s network usage growth of 2,000% annually (Crypto.news) lead to fee revenue that surpasses its 8.6% staking rewards by the end of the year?
What are people saying about ICP?
ICP’s price watchers are focusing on the $6 mark, while developers highlight new Bitcoin DeFi and AI tools. Here’s what’s trending:
- Breakout potential – Traders see $5.80 as a key resistance level that could lead to a 36% price jump
- Bitcoin DeFi growth – ckBTC deposits rise 37% as ICP adds support for BTC, ETH, and Solana
- AI excitement with challenges – Caffeine’s no-code AI tools get positive feedback, but wider adoption still faces hurdles
In-Depth Look
1. @johnmorganFL: Bullish pattern points to $8.12 bullish
“ICP breaks a 7-month downtrend – a 50% rally is possible if it clears $6.20”
– 1.1M followers · 287K impressions · June 10, 2025, 09:45 UTC
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What this means: If ICP moves above the $5.85–$6.20 range, it could signal a major trend reversal. However, the breakout volume is relatively low (757 million in 24-hour trading volume versus a $2.35 billion market cap), which makes the move less certain.
2. @dfinity: Cross-chain swaps launch neutral
“SOL↔BTC swaps now native on ICP through Chain Fusion”
– 892K followers · 1.2M impressions · August 20, 2025, 12:00 UTC
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What this means: Technically, this is a big step forward—ICP leads with 14% more weekly developer activity compared to others, according to Santiment. But the total value locked in ICP’s DeFi ecosystem is still modest at $158 million, showing that adoption is slower than the technology’s potential.
3. @ICPWorkofficial: Freelance platform feedback bearish
“World-class technology, but where’s the user-friendly onboarding?”
– 56K followers · 89K impressions · July 24, 2025, 10:26 UTC
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What this means: This points to ICP’s adoption challenge. While Caffeine AI’s natural-language app builder (released July 2025) makes it easier to create apps without coding, getting everyday users and liquidity onboard is still behind competitors like Solana.
Conclusion
The overall view on ICP is cautiously optimistic. Strong technical signals and Bitcoin DeFi integration are promising, but real-world adoption remains a concern. Traders are watching the $6.00 psychological level closely (last tested July 28, 2025), while developers are eager to see how Caffeine influences growth. Keep an eye on ckBTC inflows—currently at 349 BTC (about $18.3 million)—as a sign of cross-chain activity.
What is the latest news about ICP?
Internet Computer (ICP) is making waves with new AI developments and market ups and downs. Here’s what you need to know:
- AI Agent Payments Launch (September 30, 2025) – ICP now works with Google’s AP2 protocol, allowing AI to handle payments directly on the blockchain.
- Vision for Self-Writing Internet (September 24, 2025) – ICP’s founder shares plans for AI to build and manage apps autonomously on ICP’s blockchain.
- Altcoin Sell-Off Affects ICP (September 23, 2025) – ICP’s token dropped 10% amid a broader sell-off in alternative cryptocurrencies.
Deep Dive
1. AI Agent Payments Launch (September 30, 2025)
What happened: ICP has integrated with Google’s AP2 protocol, which lets AI agents request and approve payments directly on the blockchain. Wallets can now recognize AI as a trusted participant, with humans overseeing larger transactions.
Why it matters: This is a positive step for ICP’s role in decentralized AI-driven economies. The AP2 protocol could increase demand for ICP as a payment layer. Security checks suggest that AI-enabled contracts might reduce hacking risks by up to 70%, making the system safer.
(Source: CryptoSlate)
2. Vision for Self-Writing Internet (September 24, 2025)
What happened: Dominic Williams, the founder of ICP, explained how AI could independently create and maintain apps directly on ICP’s blockchain. Unlike other platforms that rely on external systems, ICP runs AI neural networks as smart contracts on-chain.
Why it matters: This could position ICP as a leader in blockchain-based AI applications. However, widespread adoption depends on how many developers start building on ICP. Early events show even non-technical users creating useful apps, like tools for mapping potholes, but the market hasn’t fully reacted yet.
(Source: CoinDesk)
3. Altcoin Sell-Off Affects ICP (September 23, 2025)
What happened: ICP’s price dropped 10% within a day, along with other altcoins like Cosmos and Solana. This was due to investors pulling back ahead of inflation reports and regulatory concerns. Trading volumes also fell by 7% over the week, showing cautious interest from retail traders.
Why it matters: The short-term outlook is negative, but technical indicators suggest the price might stabilize soon. ICP found support at $4.20, but it needs to break above $4.90 to regain upward momentum.
(Source: Crypto.News)
Conclusion
ICP’s ambitious AI projects face challenges from current market volatility. Its integration with Google’s AP2 and unique approach to on-chain AI could drive growth over time, but the token’s price still moves with the broader altcoin market. The big question: will AI adoption help ICP break free from general crypto market swings?
What is expected in the development of ICP?
Internet Computer (ICP) is making important updates with these key milestones:
- Pulse (September 2025) – Improving how users manage their Internet Identity for a smoother experience.
- Atlas (September 2025) – Making it easier for developers to build and manage apps with new tools called ICP Ninja.
- Magnetosphere (October 2025) – Boosting security and computing power for network nodes.
- Meridian (October 2025) – Adding support for Dogecoin through Chain Fusion, expanding cross-chain capabilities.
In-Depth Look
1. Pulse (September 2025)
What it is: Pulse focuses on making Internet Identity simpler and more user-friendly. This includes better ways to manage login keys and easier sign-in processes. It addresses past concerns that decentralized identity systems were too complicated (DFINITY Roadmap).
Why it matters: This is a positive step for ICP. If done well, it could help more everyday users adopt the platform.
2. Atlas (September 2025)
What it is: Atlas is all about improving the developer experience. It introduces ICP Ninja, a set of tools that make it easier to deploy, test, and monitor applications on the network. Recent upgrades, like increasing storage capacity to 2 terabytes, support these improvements (ICPSquad).
Why it matters: This is good news for ICP. Making development easier can attract more creators, especially in areas like AI and decentralized finance (DeFi).
3. Magnetosphere (October 2025)
What it is: This update focuses on maintaining the health and balance of the network’s computing nodes. It follows earlier improvements that doubled storage capacity in August 2025 (DFINITY).
Why it matters: While this may not immediately affect ICP’s price, it’s essential for the platform’s long-term growth and reliability.
4. Meridian (October 2025)
What it is: Meridian expands Chain Fusion by adding Dogecoin support, building on existing integrations with Bitcoin and Ethereum Virtual Machine (EVM). This aligns with new Bitcoin DeFi projects like bitcoinlayer.xyz.
Why it matters: This is a positive development for ICP. Bringing in cross-chain liquidity could boost decentralized finance activity, though competition in this space is strong.
Conclusion
In the last quarter of 2025, ICP is focusing on making its platform easier to use (Pulse, Atlas), connecting with other blockchains (Meridian), and strengthening its infrastructure (Magnetosphere). These updates position ICP as a strong player in AI-driven apps and cross-chain DeFi. The big question remains: will more developers join the platform despite ongoing concerns about its token economics?
What updates are there in the ICP code base?
Internet Computer (ICP) made significant improvements in scalability and AI capabilities between August and September 2025.
- Subnet Storage Doubled (Sept 4, 2025) – Each subnet now supports 2 TiB of storage, allowing for bigger and more complex decentralized apps (dApps).
- Replicated State Capacity Doubled (Aug 20, 2025) – The network’s data replication storage doubled, improving reliability.
- Bitcoin DeFi Hub Launched (Aug 2025) – ICP introduced native Bitcoin DeFi integration, enabling BTC-based decentralized finance without relying on bridges.
Deep Dive
1. Subnet Storage Doubled (Sept 4, 2025)
What happened: ICP’s subnets, which are smaller networks within the larger blockchain, now offer 2 terabytes (TiB) of storage instead of 1 TiB. This upgrade allows developers to create dApps that handle larger amounts of data, such as AI models or media-heavy platforms.
The team improved the way data is processed and stored by optimizing algorithms and testing the system under heavy workloads. This opens doors for decentralized video streaming, hosting large language models (LLMs), and enterprise applications that need substantial storage.
Why it matters: This is a positive development for ICP. Developers can now build more advanced and data-heavy applications without worrying about storage limits. It could attract new projects focused on AI and decentralized physical infrastructure networks (DePIN). (Source)
2. Replicated State Capacity Doubled (Aug 20, 2025)
What happened: The network doubled its capacity for replicated state storage to 2 TiB per subnet, which means better data backup and fault tolerance across all 47 subnets.
This was achieved by creating a new storage layer and improving checkpointing, a process that ensures data consistency. Overall, the network’s total storage increased from 47 TiB to 94 TiB.
Why it matters: This upgrade mainly improves the network’s reliability and prepares it for future growth. It doesn’t bring immediate changes for users but strengthens the system’s foundation. (Source)
3. Bitcoin DeFi Hub Launched (Aug 2025)
What happened: ICP launched a new hub dedicated to Bitcoin-based decentralized finance (DeFi). Using Chain Fusion technology, it allows native Bitcoin transactions directly on ICP’s blockchain.
This integration uses advanced cryptographic methods (threshold ECDSA signatures) to securely manage Bitcoin addresses without relying on bridges, which can be risky. Developers can now build Bitcoin lending and borrowing platforms with transaction finality in just 1-2 seconds.
Why it matters: This is a strong positive for ICP. It positions the platform as a bridge between Bitcoin and smart contract ecosystems, potentially attracting Bitcoin liquidity into DeFi applications. (Source)
Conclusion
ICP’s recent upgrades focus on expanding storage capacity and integrating Bitcoin DeFi, key steps toward supporting AI-driven dApps and tapping into Bitcoin’s $500 billion+ market. With added privacy features like vetKeys, ICP is building a strong foundation to become a leading Web3 platform combining AI and Bitcoin.