The INJ price did well on Wednesday morning as it became one of the best performing coins in the world. Injective rose by more than 20% and rose to a high of $5.30, which was the highest level since April 21st. It has risen by more than 30% from its lowest level this year, bringing its total market cap to over $244 million.
What is Injective and why is it rising?
Injective is a relatively small but fast-rising blockchain project in the decentralized finance (DeFi) industry. The ecosystem removes most barriers that exist in trading cryptocurrencies such as high gas fees. It has unlimited markets and people can use a leverage of over 200. Further, it has a fully decentralized order book.
Its trading platforms are Injective Pro, Picasso, Lunatics Exchange, INJ Dojo Exchange, and MarsX. Lunatix Exchange focuses on the Terra community while MarsX is a DEX for accessing the high-volume derivatives market. Last week, the developers announced that EVMOS Spot had been listed in its Injective Pro market. Other recent entries into the network are Kyve, Cosmos, and ApeCoin.
INJ price prediction
The daily chart shows that the INJ price has been in a strong bearish trend in the past few months. Precisely, it has lost over 75% of value from its highest level in September last year. Now, recently, the coin has formed what looks like an inverted cup and handle pattern that is shown in black. The lower part of this pattern is at $3.79. In most cases, the pattern is usually a sign of bearish continuation.
The Injective price has also moved below the 25-day and 50-day moving averages while the Stochastic Oscillator has moved slightly above the oversold level. Therefore, there is a likelihood that this price action is a dead cat bounce, meaning that the coin’s price will resume the downward trend. If this happens, the next key support level will be at $3.50.
