Injective (INJ) Price Plunge : An Opportunity to Seize ?
The Injective cryptocurrency (INJ) has experienced a sharp decrease of 19% in the last 24 hours, one of the most significant drops in the cryptocurrency market. However, this decline is not necessarily a sign of the end for INJ. An in-depth analysis of on-chain data highlights several buying signals that could stabilize or even push the price up in the short term.
One of the main reasons for this drop is the massive return of former users to the Injective network. Indeed, the number of “returning” users has reached a yearly high, with close to 58,000 individuals. These users, often long-term holders and active traders, tend to aggressively sell off their assets when re-entering the market.
Conversely, the activity of new users has significantly dropped, with only 512 new participants joining the network. This indicates that potential investors currently view INJ as a high-risk investment and are hesitant to commit.
Opportunistic Investors Capitalize on the Dip
Despite this selling pressure, some investors have taken the opportunity to accumulate INJ tokens. DeFi investors have purchased $520,000 worth of INJ and deposited them into liquidity pools, boosting the Total Value Locked (TVL) from 33.9 to 34.42 million dollars in 24 hours.
Likewise, in the non-DeFi segments, accumulation has strengthened. Net flow data on centralized exchanges showed a withdrawal of $840,000 in INJ, indicating a transfer to private wallets.
INJ Outlook: Where Could the Price be Heading ?
While bearish and bullish signals coexist, analysis of the “Liquidation Heatmap” suggests that the next key resistance level is around $11. Indeed, the highest concentration of liquidity has been spotted just above the current price, which could attract INJ prices towards this level.
However, the highest liquidity level is around $10.1, represented by the yellow Supertrend trend line. If INJ follows its historical pattern, the asset could bounce back to this level despite the current selling pressure.
Ultimately, although INJ’s drop is significant, the increasing accumulation by DeFi and non-DeFi investors indicates a positive long-term outlook for the cryptocurrency. Investors seem to view this decline as an interesting buying opportunity.
How to Buy INJ on Bitget ?
- Sign up on Bitget: Visit the Bitget website or download the app (Android/iOS). Click on “Sign up” and create an account with your email or phone number.
- Verify your identity (KYC): Log in, go to the “Identity Verification” section in your profile, and submit an identity document to activate all features.
- Deposit funds: Click on “Buy Cryptos” or “Deposit.” Choose a fiat currency (like EUR via SEPA) or deposit a cryptocurrency (BTC, USDT). Follow the instructions to add funds.
- Buy the token: Go to “Spot Trading,” search for the INJ/USDT pair, select “Buy,” enter the amount, and confirm the order at market or limit price.
