Injective (INJ) Falls to $13.01 Despite EVM Upgrade and ETF Filing Momentum

Injective (INJ) Falls to $13.01 Despite EVM Upgrade and ETF Filing Momentum - Blockchain.News

Quick Take

• INJ currently trading at $13.01 (-8.77% in 24h) • Injective's RSI at 46.91 signals neutral momentum with potential oversold bounce • Profit-taking pressure following Cboe's staked INJ ETF filing and EVM compatibility upgrade

What's Driving Injective Price Today?

The INJ price is experiencing significant downward pressure despite a series of fundamentally positive developments. Yesterday's 7.75% pullback to $13.56 has accelerated today, with INJ falling another 8.77% to current levels of $13.01.

This decline comes as traders take profits following earlier gains sparked by two major catalysts. On July 28th, Cboe BZX filed for the first staked Injective ETF in the United States, marking a potential breakthrough for institutional adoption. Just three days later, Injective launched its highly anticipated Ethernia Upgrade, introducing Ethereum Virtual Machine compatibility to enhance developer flexibility and network activity.

Despite these positive fundamentals, the INJ price has struggled to maintain momentum above the $14 level. The 24-hour trading range of $12.64 to $14.35 reflects the ongoing battle between bulls capitalizing on the recent news and bears taking profits from earlier positions. Trading volume on Binance spot reached $21.97 million, indicating healthy market participation during this consolidation phase.

INJ Technical Analysis: Mixed Signals Emerge

The Injective technical analysis reveals a complex picture with both bullish and bearish elements competing for control. INJ's RSI currently sits at 46.91, placing it firmly in neutral territory but approaching oversold conditions that could trigger a bounce.

The moving average structure tells a nuanced story. While Injective trades below its short-term SMAs (7-day at $14.14 and 20-day at $13.97), it remains above crucial longer-term support levels. The 50-day SMA at $12.23 and 200-day SMA at $12.54 provide a foundation that has held firm during this pullback.

Injective's MACD presents a bearish signal with the histogram at -0.2307, indicating weakening bullish momentum. However, the Stochastic oscillator shows INJ in deeply oversold territory with %K at 9.97, suggesting a potential reversal could be imminent.

The Bollinger Bands analysis shows INJ trading at 0.2229 of the band width, closer to the lower band at $12.24 than the upper resistance at $15.69. This positioning often precedes mean reversion moves back toward the middle band at $13.97.

Injective Price Levels: Key Support and Resistance

Based on Binance spot market data, several critical Injective support levels are coming into focus. The immediate support at $11.94 represents the next major test if selling pressure continues. A break below this level could accelerate declines toward the strong support zone at $8.95.

On the upside, INJ resistance appears concentrated around $16.35, which serves as both immediate and strong resistance. This level has proven difficult to break and will likely require sustained buying pressure from institutional interest or additional positive catalysts.

The current pivot point at $13.33 sits just above the current INJ price, suggesting the market is testing this equilibrium level. A decisive break above could target the middle Bollinger Band resistance at $13.97, while failure to hold may lead to further downside toward $12.24.

With Injective's daily ATR at $1.16, traders should expect continued volatility in this range. The INJ/USDT pair has shown particular sensitivity to broader market sentiment during this consolidation phase.

Should You Buy INJ Now? Risk-Reward Analysis

For aggressive traders, the current INJ price presents an interesting risk-reward setup. The confluence of oversold technical conditions and strong fundamental catalysts could support a bounce toward $14-$15 resistance levels. However, any positions should include strict stop-losses below $12.64 to limit downside risk.

Conservative investors may prefer to wait for clearer directional signals. If INJ can reclaim and hold above the $14 level with volume confirmation, it would suggest the profit-taking phase is complete and upward momentum could resume.

Long-term holders should consider the broader context. Despite the current pullback, INJ remains well above its 52-week low of $6.96 and has shown resilience during market stress. The combination of the Cboe ETF filing and EVM compatibility upgrade provides a strong foundation for future growth, particularly if broader cryptocurrency markets stabilize.

The overall trend classification of "Strong Bullish" suggests that this pullback may represent a healthy correction within a larger upward trajectory rather than a trend reversal.

Conclusion

The INJ price faces a critical juncture as technical and fundamental factors pull in opposite directions. While profit-taking has dominated the past 48 hours, the underlying drivers from the staked ETF filing and Ethernia upgrade remain intact. Traders should watch for signs of stabilization above $13 and potential reversal signals from the oversold RSI conditions. The next 24-48 hours will likely determine whether this represents a temporary setback or the beginning of a deeper correction for Injective.

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