Injective protocol (INJ) has been on a tear lately, surging past $8 on April 15 and recording a growth rate of over 400% so far this year.
It’s no wonder that social sentiment around this exciting cryptocurrency has reached near-euphoric levels, with holders and investors alike giddy at the prospect of continued gains.
But with a large cluster of INJ holders now approaching the break-even point, some are beginning to wonder whether a price correction might be imminent. The question on everyone’s lips is — will INJ’s rally keep going strong or is a correction on the horizon?
Injective Token (INJ) Experiences Significant Price Growth
INJ has seen a surge in price over the past 24 hours, with Coingecko reporting a price of $8.16 per token. This represents a 15% increase in value during that time period.
Over the course of the last seven days, INJ has experienced even more significant growth, with a 47% rally in price. Investors and traders will no doubt be keeping a close eye on this cryptocurrency in the coming days to see if the upward momentum can continue.
INJ Continues To Soar, But Could Face Correction
As of today, INJ has once again hit a year-to-date high, demonstrating its impressive performance in 2023. However, the latest data from Santiment’s Market Value to Realized Value (MVRV) analysis suggests that a price correction could be on the horizon for INJ.
MVRV analysis determines potential buy/sell zones by comparing an asset’s average acquisition price to its current market value. According to charts, INJ’s MVRV could soon reach a critical sell zone, indicating that a price correction is possible.
Although most INJ holders who bought in the past month are currently enjoying profits of around 34%, historical MVRV data suggests that holders typically book profits around the 42% zone. This means that once INJ’s price approaches the $6.9 zone, a retracement could be in the cards.
Injective Updates For 2023
Injective has recently announced its partnership with Eclipse to introduce the first interchain Solana Sealevel Virtual Machine (SVM) called the Cascade. This innovative technology will enable developers to leverage the Injective blockchain to deploy Solana dApps seamlessly.
Injective (INJ) total market cap currently at $622 million on the weekend chart at TradingView.com
The Cascade would be the first iteration of leveraging interchain security for rollups, offering enhanced scalability and efficiency for developers. This technology has the potential to improve the performance of dApps and create new opportunities for developers to create value in the blockchain space.
On April 10, developers released an upgrade for the Injective mainnet. The latest update would add improved smart contract capabilities to the mainnet, aggregated user accounts, automation, and other advanced features. These updates will provide users with an improved experience on the platform and set the stage for further innovation in the blockchain industry.
-Featured image from Shrimpy Blog