Injective (INJ) Price Could Be on the Path to Reclaiming Recent Losses  

The price of Injective ($INJ) is expected to be bullish in the coming days, helped by investors’ optimism.

While $INJ could face some challenges in noting a 27% rise, it would find support from the holders.

Injective Investors Are Pining for a Rise

Injective’s price is preparing to break out of a multi-week resistance to reclaim the losses it endured two months ago. This is highly supported by $INJ holders, who are acting in favor of a rise.

This is evident in the active deposits, a metric measuring the total number of unique deposits made on exchanges daily. A spike in this metric is associated with a potential rise in selling.

However, in the case of $INJ, this metric has been strictly declining since December 2023. This drawdown proves that investors opt to HODL rather than sell their holdings.

Injective Active Deposits. Source: Santiment

Furthermore, the broader market cues are also turning bullish again, visible in the Moving Average Convergence Divergence (MACD).

The MACD (Moving Average Convergence Divergence) is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price. It is used to identify potential buy or sell signals based on crossovers, divergences, and rapid rises or falls.

Currently, MACD is exhibiting a bullish crossover after slipping to form a bearish crossover for only the second time in two months.

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Injective MACD. Source: TradingView

Thus, with the investors and market both acting bullishly, Injective’s price could rise on the daily chart.

$INJ Price Prediction: Look for a Rally

The Injective price is currently testing the resistance at $28, aiming at breaching the barrier at $30. This would enable $INJ to initiate a recovery rally towards $35, marking a potential 22% rise. This is the price point from which the altcoin dropped in mid-April.

The altcoin could capitalize on the investor’s and market’s support to rise back up.

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Injective Price Analysis. Source: TradingView

However, if the breach of $28 and $30 fails, there is a fair chance that the Injective’s price could fall back down to $21. This level has formed the support floor over the past couple of weeks, and a dip in it would invalidate the bullish thesis.