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- Injective (INJ) bulls breach the $12 resistance, marking a 20-month high in the last 24 hours.
- New users flood Injective Network as Helix’s game-changing feature may have caused INJ’s price surge.
- The $15 high may be the next target if bullish momentum breaches the resistance.
Injective (INJ) has catapulted to a significant milestone, breaching the $12 mark, as bullish momentum continues sweeping the crypto markets. Over the past ten days, this digital asset has been on an impressive winning streak.
Injective Network Welcomes a Wave of New Users
Injective’s recent meteoric rise can be attributed to a groundbreaking product feature unveiled by Helix, the decentralized exchange (DEX) built on the Injective Layer-1 blockchain. On October 19, Helix introduced pre-launch futures trading, allowing crypto enthusiasts to speculate on unreleased tokens before they hit the official market or exchange listings.
Injective DEX Helix unveils pre-launch futures for upcoming tokens, starting with Celestia https://t.co/y13G1gNO64— The Block (@TheBlock__) October 18, 2023
This move created a chain reaction, leading to an influx of users into the Injective network. The on-chain data paints a vivid picture of this surge, with 133 new INJ wallets created on October 20 and 22, marking the highest network growth since mid-July. The spike in new users could be a bullish signal, indicating heightened demand for the native token and the network’s services.
Connection Between Product Launch and Price Rally
The correlation between Helix’s recent product launch and Injective Network Growth is striking. This innovative feature appears to be a pivotal driver behind the ongoing INJ price rally. The injection of new users into the ecosystem could have bolstered demand for INJ tokens.
While the surge in demand has propelled INJ’s price to a 20-month high, on-chain data reveals that the accompanying media frenzy is approaching euphoric levels. The INJ Social Volume score hit a 65-day peak of 123 on October 20, signifying an exponential increase in mentions across crypto media channels.
INJ/USD Social Volume vs. Price (source: Santiment)
Historically, such extreme media hype has often served as an early warning signal and the price might reach a local top, prompting strategic traders to consider exiting.
This pattern was evident around July 14 and August 18, when INJ’s Social Volume spiked to euphoric levels, followed by subsequent price declines. Based on this historical trend, it is plausible to anticipate a retracement if holders begin to lock in profits in the coming days.
INJ/USD Technical Analysis
Bullish momentum has prevailed in the Injective (INJ) market over the past 24 hours, with prices leaping from an intra-day low of $9.72 to a 20-month high of $12.60. This rally could have been fueled by positive market sentiment and increasing purchasing pressure. If this bullish momentum breaks over the $12.60 barrier, the next level to watch is around $15.
At press time, INJ was trading at 12.41, representing a 28.13% increase from its intraday low. If negative momentum prevails and the price falls below the current level of $12.41, the next support level to monitor is around $10.00.
During the bull run, INJ’s market capitalization and 24-hour trading volume increased by 28.42% and 200.14%, respectively, to $1,043,102,697 and $215,747,960. These substantial gains in market capitalization and trading volume could imply considerable interest from investors and the possibility of additional price rises.
INJ/USD 24-hour price chart (source: CoinStats)
In conclusion, Injective Network’s remarkable surge, driven by Helix’s innovative product launch, signals a potential for both further gains and a need for cautious optimism as euphoria in the crypto market grows.
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