Filecoin Surges, Mirroring Internet Computer’s Breakout Pattern
Filecoin’s recent breakout above $1.90 marks a strong reversal as traders shift focus toward decentralized storage and compute tokens. Following Internet Computer’s earlier surge, the altcoin rotation suggests renewed market confidence in DePIN and AI infrastructure assets.
Filecoin (FIL/USDT) chart indicates a definite breakout of a long falling wedge formation. This pattern, which is usually associated with a bullish turnaround, has seen the token climb beyond the major resistance point of $1.90, indicating a new swing in the market. Volume expansion has accompanied this surge, with daily trading activity reaching over $1.3 billion, confirming heightened participation and renewed interest in the asset.
Filecoin’s upward trajectory coincides with a broader market move led by Internet Computers (ICP). According to analyst @CryptoBoss1984, ICP surged over 28% in the past 24 hours to reach $7, driven by the Caffeine AI launch and trading volumes exceeding $1.2 billion. This rally appears to have triggered rotation into Filecoin, which gained over 57% in the same period, mirroring ICP’s earlier pattern almost exactly 24 hours later.
Both of the tokens are part of the group of infrastructure projects of the 2021 generation that underperformed throughout the bear market. They are recovering in sync, which means that the sentiments are moving towards more tangible utility-driven projects and not necessarily momentum plays.
Altseason Rotation Targets DePIN and AI Infrastructure
CryptoBoss emphasized that the current rotation is focusing on “real utility” sectors—specifically DePIN (Decentralized Physical Infrastructure Networks) and AI-linked compute assets. Filecoin’s role in decentralized data storage, with integrations involving OpenAI, NASA, and the Internet Archive, positions it within this emerging narrative. Similarly, Internet Computer’s Caffeine AI launch catalyzed its breakout, drawing trader attention to AI-focused infrastructure networks.
This movement reflects a pattern reminiscent of 2021’s bull market, where liquidity flowed sequentially among assets within shared narratives. Traders seeking exposure to high-utility altcoins are moving capital from ICP, which already rallied, into lagging counterparts such as FIL. The behavior demonstrates the market’s renewed appetite for coins with real-world data and compute applications.
Current momentum indicators show that short-term sentiment favors further continuation. The flattening moving averages on FIL’s daily chart suggest a transition from accumulation to early bullish control. The setup has not been broken yet since the price has been keeping above the $1.90 support zone with an observed resistance at around $2.20 and $2.50.
Technical Outlook and Market Context
At the time of writing, Filecoin trades at $2.12, up 57.88% in the last 24 hours, while Internet Computer stands at $8.30, marking a 34.01% daily rise. Over the past week, ICP has gained 184.10%, while FIL has advanced 41.33%, illustrating the lagging correlation pattern described by CryptoBoss.
The market context supports this rotation, as investors diversify into decentralized compute and storage solutions in anticipation of further AI sector growth. The strong parallel between the two price charts underscores market psychology, where technical triggers from one asset ignite momentum in related peers.
If buying volume continues, Filecoin’s trajectory could extend toward the $2.80 region in subsequent sessions. However, sustaining above the $1.85–$1.90 breakout range remains essential for maintaining bullish structure. The chart and volume data together suggest that Filecoin’s recent price action is part of a broader cycle of capital flow within infrastructure-driven altcoins, mirroring Internet Computer’s performance and reinforcing the resurgence of utility-based market rotation.