Injective (INJ) has struggled to surpass the crucial resistance levels between $15.909 and $16.30, having failed to move beyond the $16.40 price level since the beginning of this month. Today, according to data reported by market analyst AMCrypto Alex, INJ shows indicators that could enable it to break above this resistance zone soon.
INJ needs to surpass $16.30
AMCrypto Alex admitted that Injective had rejected the move above the critical $16.30 resistance level on several occasions. Technical analysis shows that the altcoin has struggled to surpass this level since early this month. According to the Tradingview technical chart, there has been a rejection pattern, suggesting that failure to surpass this level means the altcoin could experience more downsides.
With INJ currently trading at around $15.41, the analyst identified that the region between $15.909 and $16.30 is a region of strong resistance. The market witnesses short-term surges but consistently gets rejected at this level.
The analyst, however, believes that the asset may break above the $16.30 mark soon to confirm that the downtrend is over. While rejections are a natural part of trading, they provide a buying opportunity for investors seeking to enter the market before a potential upward movement.
INJ may begin rising again in the next few days or weeks. The overall sentiment in the market remains positive, and with strong Injective’s fundamentals, the asset could experience renewed bullish pressure soon.
Injective price updates
After experiencing a market rally during bull runs in November and early December 2024, Injective started witnessing a downtrend from mid-December to late January this year. Since early this month, INJ has been a protracted correction, which coincides with the significant drop in the broader crypto market. Prices of most crypto assets are currently down mainly due to macroeconomic pressures.
The Injective’s price has been down 27.6% over the past month. Despite this significant decrease, on-chain indicators signify that a possible recovery could be on the horizon. This is indicated by its recent rise when the asset’s price recorded an increase of 3.5% over the past seven days. The asset is currently trading at $15.49 after seeing a mild 0.9% rise over the past 24 hours.
A recent formation of a falling wedge pattern (a bullish chart pattern) also suggests that the market is preparing for a potential breakout from the current downtrend.
In addition, Injective’s derivatives maintain a neutral-to-bullish position, reflecting that the heightened price fluctuations have not substantially impacted market sentiment. This arrangement supports the possibility of a sustainable uptrend above $16.00.
Lastly, traders have shown renewed confidence after the sharp 27.6% market correction following INJ’s price drop from a high of $20.508 (on Feb.1) to the current low of $15.49. Positive sentiment and consistent buying pressure could eventually trigger upward momentum soon.
