Injective, a blockchain platform designed to revolutionize finance, has been experiencing a gradual decline in its token value, INJ, since the latter part of 2023. This decline has seen the cryptocurrency’s price struggling beneath a descending trendline, effectively limiting upward price movements. Despite this, there’s a burgeoning optimism that INJ is poised for an upward trajectory.
Injective’s trajectory through the financial blockchain landscape has been marked by ups and downs, culminating in consolidation below a key descending trendline that has consistently restricted its upward movement. After facing a 30% decrease in market value, investors’ sentiments are growing, and INJ is on the cusp of a significant upward move.
If the market bulls manage to overcome the current resistance level at $34.00, INJ price might ascend toward the critical resistance level of the $40 mark. This bullish scenario is contingent upon the price maintaining its momentum above a critical support level, potentially propelling it towards $45 or even reaching the $50 benchmark in the near future.
Conversely, if there is a shift towards profit-taking, particularly after the 7% gains observed on a recent Wednesday, INJ’s price trajectory could veer southward. A breach and subsequent close below the $31.00 mark would negate the bullish forecast, potentially dragging the token’s market value down to a $30 support level. Further bearish pressure could see the price descending to $25.
In the last week, INJ’s price fluctuated between $35.00 and $31.00, facing downward pressure. However, in the last 24 hours, a notable resurgence has been observed, with INJ climbing to $33.37, a more than 4% increase, signaling a bullish momentum across the cryptocurrency market. Currently, INJ holds the 32nd position on CoinMarketCap, boasting a live market cap of $2,832,528,812.
Santiment’s on-chain metrics further bolster the bullish outlook, with the exchange flow balance metric showing a negative reading of -2112, indicating a net outflow of tokens from exchanges. This trend suggests a strong holding sentiment among INJ investors, reducing the immediate sell pressure.
Additionally, the daily active addresses, social dominance, and social volume metrics have decreased, minimizing the likelihood of FOMO-driven volatility and creating a conducive environment for price recovery.
The technical analysis reinforces the optimistic view, with the Moving Average Convergence Divergence (MACD) indicator positioned in a positive zone and the Awesome Oscillator indicating a bullish momentum with a reading of $0.053. These indicators underscore a growing buying pressure and a positive market sentiment towards INJ, hinting at a potential rebound and sustained upward movement in the near term.