The injection protocol update is optimistic AF! Time to buy INJ cryptocurrency?…
NOIDA (CoinChapter.com) — Infusion protocol updates in recent weeks have been labeled ‘bullish’. Despite this, the network’s native cryptocurrency INJ has been unresponsive in its holding pattern, with its price stabilizing around $35.
Factors such as the launch of Injective Bridge v2 and the addition of new assets to the DEX appear to have helped INJ’s price increase by 157.8% since October 2023. As a result, the token experienced an increase in trading volume and reached an all-time high in total value (TVL). Its appearance on the platform indicates high market interest and potential for further expansion.
Token launch event completed with Injective Protocol
The blockchain project recently completed its token burn event scheduled for February 14th, highlighting the burning of $1 million worth of INJ tokens from Injective Oritticik and demonstrating Injective’s aggressive approach to maintaining a strong economic model.
Token burning is a strategy that helps reduce overall supply, potentially increasing token value. Additionally, Injective Protocol burned 6,200 INJ tokens during the event. This burn event adds to the $200 million worth of INJ tokens the project has already burned.
INJ Prices Continue to Consolidate
INJ price continued to consolidate after falling below the 20-day EMA (red wave), with the token falling nearly 0.6% to reach a daily low of $33.5 before the correction.
The injection protocol update could help INJ price bounce back to resistance near $40.3. Moreover, breaking the immediate resistance and consolidating could help the token target the resistance near $46 before a pullback.
However, if the news of Injective Protocol’s latest update fails to attract traders, the price of the token may fall towards the 100-day EMA (blue wave) support level near $29.7.
A violation of the immediate support line could see short-term traders taking advantage, with INJ price falling near the 200-day EMA (green wave) support at $23 before recovering.
INJ’s RSI remained neutral at 49.19 on the daily chart.