YEREVAN (CoinChapter.com) — Injective INJ price has been through the wringer in the previous month. Over the past week, the INJ price varied significantly, with a high of $41.03 and a low of $36.77. On Jan. 17, the INJ/USD exchange rate stood at around $40.4, after a 1% intraday slide. Now, it can rise monumentally in Q1/2024.
Injective INJ Price Symmetrical Triangle Sees Rally in Q1/2024
Injective price action has been trading within a technical pattern called the ‘symmetrical triangle’ since mid-December. The latter occurs in a price chart where the highs progressively lower and the lows gradually increase. These highs and lows converge, forming a triangle that looks symmetrical.
This pattern indicates a period of indecision among buyers and sellers, leading to a narrowing price range. The triangle signals that a significant price move, equal to the triangle’s maximal height, is likely soon, but it’s unclear which direction it will take. Traders often watch for a ‘breakout’ from this triangle to decide whether to buy or sell, as the direction of the breakout can indicate the future price movement.
If the bullish move happens, the target price for INJ will be approximately $58, or 30% higher than the current value. Why assume a bullish move? Fundamental developments hint at a bullish continuation, albeit don’t predict it with 100% certainty.
Injective Token Burn And Mainnet Upgrade Favor Bulls
INJ’s staking rate is rising, with half of its total supply soon expected to be staked. This could lead to increased demand for the token. The recent Volan mainnet upgrade is also a positive development for Iinjective INJ price, aiming to improve real-world asset (RWA) modules, interoperability capacities, and token economics.
Injective has released its largest mainnet upgrade to date, Volan, ushering in a new age of RWAs, institutional adoption, scalability, and Web3 finance. The upgrade enables the Injective ecosystem to grow faster than ever before.
read the announcement tweet.
Moreover, Injective has carried out a token burn event. On Jan. 4, 2024, the protocol burned 4,000 INJ tokens, valued at around $130,000. This action is considered a bullish indicator, as burning tokens can reduce the circulating supply, potentially increasing scarcity and value. INJ price could also benefit from another burn event coming on Jan. 17.
INJ Token Unlock Coming
The team is preparing for another event that could impact Injective INJ price – a $150 million token unlock on Jan. 20. The upcoming event will release 3.66 million INJ tokens, resulting in 100% of INJ tokens being in active circulation, totaling 100 million.
Token unlocks can sometimes act as a bearish cue due to the increased supply. This kind of token unlock event has previously influenced INJ’s price, as seen in August 2023 when a similar event led to a 12% price drop. Such events can lead to increased market volatility, affecting the token’s price either positively or negatively.
