The IP Token (Story Protocol’s native asset) has caught fire,rallying more than 20% in just four days and solidifying itself as one of the most eye catching gainers in the altcoin market.Driven by increasing demand,robust spot inflows and clear bullish signals from derivatives markets,the breakout could be a prelude to a sustained rally.
Let’s break down what’s behind this price explosion and what comes next.
Market Snapshot
As of July 24,2025:
- Current Price:$5.11
- Weekly Gain:+20.4%
- Spot Inflows:Over $5 million since July 19
- Funding Rates:Positive,indicating long trader dominance
- Market Cap Rank:Inside the top 150 coins by volume
Technical Picture: Bullish Structure Confirmed
IP has respected an ascending trendline since mid July,rebounding strongly off $4.50 and decisively breaking the resistance at $4.92.The breakout is technically significant:
- Resistance Turned Support:$4.92 is now acting as a demand zone
- Next Target:The March peak of $5.59,followed by $6.20 if momentum persists
- Volume Spike:Volume doubled on the breakout day,signaling institutional and retail interest
Why IP Token Is Surging
1. Surge in Spot Inflows
Over the past four trading days,IP has seen over $5 million in net spot inflows,suggesting strong demand accumulation from both retail and whales.
2. Positive Funding Rates
The derivatives market confirms the bullish trend.Positive funding rates suggest traders are paying to keep long positions open a strong indicator of market wide bullish conviction.
3. Strategic Backing & Ecosystem Growth
In June,Story Protocol partnered with OKX Ventures to launch a $10 million innovation fund focused on IP and AI integration.This has led to renewed attention on the protocol’s vision: powering Web3 intellectual property licensing and monetization.
Whale Activity and Social Buzz
Large wallets have been accumulating IP in stealth. On chain data shows several high value transactions,including purchases in excess of $500K from previously dormant wallets.
Meanwhile,social platforms like X (formerly Twitter) are buzzing with #IPToken hashtags. Influencers are calling it the Pixar of Web3 and hinting at upcoming product reveals that could further fuel momentum.
Risks to Watch
Despite strong tailwinds,traders should stay alert:
- Profit Taking Pressure:Resistance near $5.59 could trigger short term selling
- Market Wide Pullbacks:Any risk off sentiment in crypto could slow IP’s ascent
- Liquidity Concentration:Most volume is still centralized on a few exchanges a potential bottleneck
Trading Strategy for IP Token
Short Term Traders:
- Buy Zone:Retests of $4.92 or trendline support at $4.80
- Profit Target:$5.59 (partial),$6.20 (full),stop loss below $4.60
- Watch:Spot inflows,funding rate shifts and whale wallet movements
Long Term Investors:
- IP’s role in Web3 content monetization makes it a strong narrative play.Consider DCA (dollar cost averaging) if bullish on IP infrastructure and creator economy.
Final Thoughts
The 20% breakout in IP Token is not just a price story it’s a sentiment shift.Strong fundamentals,bullish technicals and capital inflows signal more upside may be in store.If Story Protocol delivers on its promise of revolutionizing digital IP rights this could be just the beginning.