The Internet Computer (ICP) blockchain is experiencing a surge in on-chain activity, with daily active addresses reaching an all-time high (ATH). As network utilization grows, investor interest is increasing, potentially setting the stage for ICP’s price recovery. However, market volatility and whale activity remain key factors influencing its trajectory.
Record-Breaking Network Engagement
ICP’s blockchain has witnessed a significant increase in active addresses, hitting 1.5 million daily users—a substantial rise from 900,000 active addresses in October 2024. This uptrend in user engagement reflects growing adoption and a strengthening ecosystem.
A sustained increase in network activity typically correlates with enhanced market confidence, which could positively impact ICP’s valuation. However, any reversal in this trend could put downward pressure on price momentum.
Whale Activity and Market Stability
Recent on-chain data reveals an ongoing battle between large and smaller whales, which could shape ICP’s price action:
- Large Whales (100K+ ICP Holdings): Peaked at 844 million ICP and slightly reduced to 824.7 million ICP by January 2025, suggesting a strong long-term holding strategy.
- Smaller Whales (10K–100K ICP Holdings): Reached a high of 406.3 million ICP but later dropped to 399 million ICP, indicating more volatile behavior.
This disparity suggests that larger whales are maintaining their positions, signaling confidence in ICP’s long-term value, while smaller whales appear more reactive to market conditions, influencing short-term price movements.
Additionally, daily transfers hit a record 96,000 transactions, reflecting a 20% increase in user count, a 15% rise in blockchain profitability, and a 30% surge in computational demand over the past year. Developer engagement also increased by 40%, reinforcing the network’s growth.
ICP’s blockchain activity is soaring, indicating rising adoption and network strength. While whale behavior and market sentiment remain mixed, the sustained growth in user engagement and development signals long-term potential for ICP’s valuation. Investors should watch key support levels and on-chain trends to gauge ICP’s next major price movement.