Driven by heightened futures trading volumes and leverage, the price of Injective (INJ) has soared to unprecedented levels of around $38.49, marking a remarkable 2,700% surge year-to-date.
Notably, within a single day, the native token of the decentralized finance (DeFi) platform Injective, exhibited resilience and potential, demonstrating a noteworthy increase of 24% in its value.
In the context of the cryptocurrency market’s ever-changing dynamics, INJ has emerged as a standout performer, positioning itself as one of the top gainers amidst the series of surges and corrections experienced by leading tokens.
INJ price action. Source: Coingecko
Analysts have identified a number of major factors that have contributed to this startling rally, including the surge in trading volumes for INJ perpetual futures contracts, which exceeded $25.5 billion in a single day, the incentives offered by centralized exchanges to create volatility, and the acceleration of short-term traders who are seeking leverage.
The weekly timeframe’s technical analysis reveals that the price of INJ has risen sharply since the year’s beginning. As of this writing, the altcoin has experienced a strong seven-day gain of 45%.
The price increase for INJs reached a new peak of $34.60 last week, representing an increase of 2,700% in 2023.
Based on a mix of technical indicators and fundamental factors, cryptocurrency traders and analysts on X are optimistic about the direction of the INJ price trend going forward.
INJ market cap at $3.2 billion on the daily chart: TradingView.com
Experts are more confident due to Injective’s decentralized finance (DeFi) platform’s increasing popularity and strong performance in spite of market turbulence.
Meanwhile, here’s what the analysts are saying about INJ’s price performance this week:
Our Crypto Talk is optimistic for basic reasons. The account stated that leverage-driven accumulation, exchange incentives for volatility, and the boom in perpetual futures trading were the three key drivers of the continuous rising trend.
$INJ is making highs after highs and investors are in love with it.
But what has possibly happened in the recent days that ignited this price action?
Let’s check it out 👇
▪️ Surge in Perpetual Futures Trading: Injective Protocol’s significant price increase is propelled by a… pic.twitter.com/IUWZPJeiCU
— Our Crypto Talk (@ourcryptotalk) December 14, 2023
Victorious, another…
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