Internet Computer (ICP) Sees a 40% Surge: What’s Behind the Rally?

Internet Computer (ICP) has experienced a significant jump of over 39% in the past week, outpacing many established cryptocurrencies. This surge comes in response to the recent release of the MISSION70 whitepaper.

Key Takeaways

ICP's value surged by over 39% in a week, mainly due to the MISSION70 whitepaper's release.
The whitepaper proposes a dual strategy for reducing ICP inflation by 70% by 2026.
On-chain data indicates a healthy confidence in ICP, with significant token outflows from exchanges.
The Internet Computer processed around 90 million transactions in one day, signaling strong network activity.

The paper outlines strategic updates aimed at reducing inflation by at least 70% by the end of 2026, through a combination of increasing demand and decreasing supply.

ICP Rises to the Top of Daily Gainers

In the competitive crypto landscape, ICP has emerged as a standout performer. According to data from CoinGecko, ICP garnered nearly a 26% increase in value within just 24 hours, positioning itself atop the daily leaderboard among the top 100 cryptocurrencies.

This impressive rally is part of a wider upward trend that commenced earlier in the week. Starting 2026 on a positive note, the altcoin saw a moderate rise followed by a brief pullback. However, the upward momentum reversed this week, with major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) also resuming their gains, contributing to an overall market uplift.

While the renewed optimism is supporting ICP's price action, internal developments within the Internet Computer ecosystem are likely adding to this rally and boosting investor confidence in its foundational attributes. As Santiment noted, “Internet Computer has led large-cap assets over the past week by increasing its market cap by +39%.”

MISSION70 Whitepaper: A Dual Strategy for Inflation Control

On January 13, 2026, the DFINITY Team revealed the MISSION70 whitepaper, which elaborates on a dual approach to reducing ICP’s inflation rate significantly. This strategy combines actions on both the supply and demand sides, targeting a total reduction in token inflation of 70% by the end of the year.

The proposed changes will cut supply-side factors to achieve 44% of the total reduction. This includes lowering voting and node provider rewards, capping reward pools, and implementing a streamlined maturity modulation system. The whitepaper highlights that current rewards for node providers exceed the costs of providing the necessary infrastructure, allowing for reductions without endangering network security.

The paper states, “We estimate that the supply-side measures will lower ICP's minting rate from 9.72% in January 2026 to 5.42% in January 2027, representing a 44% decrease. DFINITY believes that the Mission 70 goal of a 70% inflation reduction will be exceeded through these supply-side measures along with demand stimulation.”

The remaining 26% reduction relies on increased network activity. DFINITY plans to drive demand through AI-powered on-chain applications and new cloud engine offerings. The whitepaper anticipates that heightened usage will lead to a higher burn rate of ICP via computational fees, contributing to deflationary pressure.

“To reach the overall Mission 70 target of a 70% inflation reduction (from 9.72% to 2.92%), an additional demand impact of 26% must be achieved on top of the 44% reduction from supply-side measures. Achieving this at current price levels requires an increase in the cycle burn rate from 0.05 XDR per second to 0.77 XDR per second,” the team explained.

🚨 The new ICP whitepaper demonstrates their strategy for achieving a 70% reduction in inflation by 2026 under MISSION70.
📉 44% reduction will come from cutting rewards
🔥 26% will arise from greater network usage
Inflation is projected to decrease from 9.72% to 2.92%.

Market Reaction and Strong On-Chain Confidence

Alongside the price growth, significant on-chain activity has been recorded. Data from Nansen reveals that balances of ICP on exchanges have dropped by over 58% in the last 24 hours. Such large outflows indicate that investors are withdrawing tokens from exchanges, which is generally seen as a sign of reduced short-term selling pressure.

Increase in network use has also been observed. Chainspect data indicates that the Internet Computer processed approximately 90 million transactions in one day, marking its highest daily activity in over a month.

From a technical standpoint, analysts remain optimistic about ICP's future. Some experts point out similarities with its pricing structure from November 2025, suggesting that if the current momentum persists, the asset could attempt a similar upward trajectory.

As the Internet Computer navigates this pivotal time, the cryptocurrency market is eager to see if DFINITY can effectively implement this economic overhaul. The forthcoming period will determine whether the recent price rally indicates genuine change or is merely a response to forthcoming developments.