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Dfinity launched the Internet Computer (ICP/USD) token in 2021, but the launch was not a great success. Shortly after the initial coin offering in May 2021, the token dropped by over 90%, from $700 to lows of around $20. The major price dip was attributed to insider trading.
However, the Dfinity Foundation, which is behind the development of ICP, has been making great strides to ensure the network’s recovery, and these efforts seem to be paying off, given the performance of ICP in recent days.
ICP makes double-digit gains
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Internet Computer has started 2022 on a notable bull run. The rest of the market is yet to show signs of a strong recovery, but ICP has made a strong uptrend since late December, and it is still holding on to the gains made.
Over the past two weeks, ICP has gained by around 56%, which is a notable gain, given that it is solely attributed to buyer support. Bitcoin (BTC/USD) is yet to recover above $50K, but this slow performance has not prevented ICP’s bullish gains.
The gains made by ICP could be caused by an exhaustion of the downtrend. Since May, ICP has been declining, and on December 20, it hit an all-time low of $21. Following a long period of recession, this token could now be headed towards a major bullish rally.
If the bullish gains continue, ICP could break past the next resistance at $40. The coin was the last trading at these levels in early December. On the downside, dips could also be recorded if the buyer support fails.
Terabethia launch
Dfinity announced that it would be launching a bridge to boost interoperability between Internet Computer and the Ethereum (ETH/USD) blockchain. The asset will have cross-chain features that allow the transfer of assets across different blockchains.
The bridge called Terabethia has been created out of a fork of StarkWare, an Ethereum scaling tool, and it will allow contracts on the two blockchains to communicate with each other and allow mirroring and the usage of any asset on Internet Computer and Ethereum.
Some of the functionalities of this bridge include allowing the exchange of information between the two blockchains. It will also allow the sharing of tokens and smart contract instructions. The bridge will function independently from the mechanisms of the two blockchains.