Injective (INJ) has recovered sharply, gaining more than 11% over the past 24 hours. The token is now approaching a resistance zone between $8.20 and $8.28 that has repeatedly limited upside movement, raising questions about whether bulls can break through or face another rejection.
Technical Pattern and Support Levels
INJ's daily chart displays an ascending triangle formation, with price creating higher lows while facing consistent resistance in the $8.20 to $8.28 range. The rising support trendline, originating near the August low of $3.945, indicates progressive buying pressure at higher levels. A break above $8.28 with increased volume could open movement toward the $9 to $9.5 region, while a breakdown would expose support at $7.20 to $7.40.
Market Indicators Show Mixed Signals
The On-Balance Volume (OBV) indicator has moved within an upward-sloping channel following its August decline, suggesting improved buying participation. However, the Cumulative Volume Delta (CVD) presents concerns, with aggregated futures CVD at approximately -110.735 million and spot CVD around -11.898 million, indicating that aggressive buying has yet to provide clear confirmation of strength.
Derivatives Market Activity
Open interest in Injective's derivatives market has recovered to approximately $70.12 million, alongside INJ's price recovery. The funding rate remains positive at 0.0065, reflecting a slight bullish bias among perpetual futures traders. Recent liquidation data shows approximately $158,196 in long liquidations against $76,445 in short liquidations, suggesting that bullish traders have faced forced position closures during this period.
Immediate Outlook
INJ's near-term direction depends on whether buyers can overcome selling pressure at $8.28. The ascending triangle pattern and recovering open interest offer technical encouragement, though declining CVD readings suggest conviction remains limited. The proposed Veyra upgrade, focusing on institutional trading infrastructure and cross-chain functionality, represents a longer-term development to monitor.
