With AI and big data tokens experiencing renewed capital rotation, Injective is pumping. In fact, after successfully holding $5.3, Injective finally reclaimed and flipped $6 resistance.
In doing so, the altcoin jumped to a three-month high of $6.7. As of this writing, Injective traded around $6.39, marking a 13.15% surge on the daily charts.
The price hike was supported by a 172% surge in trading volume, reflecting increased capital deployment and market activity.
Injective’s staked supply hit ATH
Although capital rotation into AI coins is a major sector-wide boost, Injective is experiencing its own motivating factors. For starters, altcoin’s strong jump seems driven by rising demand from stakers and reduced supply.
As such, Injective reached a new all-time high in total tokens staked. Reportedly, over 58.8 million INJ tokens worth approximately $370 million are now staked on-chain.
This jump in the amount of INJ staked made Injective one of the leading L1 chains by total staked supply.
With almost 59% of the supply already staked, tokens available for immediate selling have plunged extensively, with only 34 million INJ in circulation.
Such a significant drop in supply has increased scarcity, which often strengthens tokens and leads to more gains.
INJ goes live on Robinhoodcrypto
Additionally, INJ went live on Robinhood Crypto, thus expanding Injective’s user base. With the integration, Injective posited that millions of users will now easily access the INJ ecosystem for its on-chain markets, RWAs, and tokenized stocks.
As Injective expands its market reach, the network activity is growing, especially driven by real-world asset tokenization. As a result, Injective is one of the leading chains in tokenization.
The chain has now tokenized over $1 billion in residential mortgage records. Also, Injective seeks to migrate over $10 billion in assets in the coming months.
Can the rally continue?
With market supply reducing, Injective’s upside pressure is emerging as dominant. For instance, INJ currently sits above the least squares moving averages, a clear sign of this bullish dominance.
At the same time, the altcoins’ Relative Strength Index (RSI) has held on an upward trajectory for four days, rising to 70. At these levels, RSI suggests bulls have total dominance of the market.
Often, such a setup has preceded some gains on the price charts. Therefore, if current conditions persist, Injective will close above $6.7 and eye a move past $7.
However, the recent price hike attracted profit-taking, which presents a pullback risk. Since INJ reclaimed $5 four days ago, Netflow has held positive, rising to $1.8 million.
Increased profit taking explains why the upside is slowing down, and if it continues, a drop below $6 will follow, with $5.6 as support.
Final Summary
- INJ soared 13%, flipped $6 resistance, and climbed to a three-month high of $6.7 before a slight retrace.
- Injective reached a new ATH in INJ staked, with $58.8 million worth approximately $370 million staked on-chain.