COMP reaches dangerous threshold – Is it plummeting to $23?

! COMP to danger threshold – Is it plummeting to $23?* On the chart, COMP is at a critical level that could lead to a sharp decline in the price in the coming days.

• Market sentiment suggests sellers are not relenting, continuing to sell off COMP as confidence weakens.

Market sentiment for Internet Computer [COMP] maintained its downtrend, as sellers consistently sold the asset over the past week and month, resulting in declines of 12.31% and 24.92% respectively.

TinTucBitcoin’s analysis found that COMP is in a critical position, trading at a support level. If this support level fails to hold, a major drop is possible. At the same time, market activity is mainly selling.

COMP is in critical territory – what could happen?

At the time of writing, COMP is trading at the bottom of the consolidation channel that has remained in place since July 2023.

If this support level fails to hold and the COMP breaks through its lower boundary, the final phase of the bearish flag pattern will begin.

This pattern forms when the price experiences a sharp decline, consolidates and then resumes the downtrend.

! COMP to danger threshold – Is it plummeting to $23? - Bitcoin News - Latest Coin News Updates 24/7, 2025 Source: TradingView

On the chart, the next support below this level is $23.27, implying a 50% drop. If this support level is unsustainable, COMP could fall further, possibly trading below $20.

High downside potential

Currently, the derivatives market shows a high probability that COMP will fall further below this key support level, as selling indicators show.

One of the bearish indicators was the decline in the open rate, which fell 1.83% to $18.08 million in the last 24 hours. This decline was accompanied by the Taker Buy Sell Ratio index reaching 0.9242.

! COMP to danger threshold – Is it plummeting to $23? - Bitcoin News - Latest Coin News Updates 24/7, 2025 Source: Coinglass

In this situation, when the ratio is below 1, it indicates that the sell volume exceeds the buy volume, indicating that there are more sellers in the market.

Additionally, the Funding Ratio, which tracks which parts of the market are paying higher fees to determine trend direction, is negative at -0.0065 at the time of writing.

A negative reading indicates that the downtrend is favoring sellers, while a positive reading indicates that the uptrend is favoring buyers.

If selling pressure continues to build, COMP can break below the current support level and continue falling, reaching its target level of $23.

! COMP to the danger threshold – Is it plummeting to $23? - Bitcoin News - Latest Coin News Updates 24/7, 2025 Source: Coinglass

In the spot market, traders have started selling for the first time since March began, while earlier this month, investors accumulated COMP in small amounts.

Currently, the daily net cash flow on the exchange is positive, indicating increased selling activity.

To date, about $71,000 worth of COMP has been sold. If the selling continues, combined with bearish sentiment in the derivatives market, COMP could witness a large decline as predicted.

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