- Injective has planned to launch its own Layer-3 chain on Arbitrum.
- In the last 1 year, the price of the INJ crypto has advanced by 286%.
Injective, a Cosmos-based blockchain, plans to expand by launching its layer-3 network called inEVM in the Ethereum ecosystem, using Arbitrum’s technology.
This integration aims to enhance interoperability between Ethereum, Cosmos, and Solana, potentially revitalizing the INJ token economy through enhanced developer opportunities and burning mechanisms.
The market cap for the Injective has advanced by 4.17% in 24 hours since the press time. This results in a market cap value of $2.295B.
Injective is also the 50th largest cryptocurrency in the global cryptocurrency market. The traded volume for the crypto has witnessed a decline of 16.1% in 24 hours. It further results in a traded value of $73.293M.
What Do Injective Crypto Derivatives Say About the Price?
The long-short ratio for the Injective is 0.9531, which indicates higher long liquidation in crypto.
![Injective](https://victoriaspence.com/wp-content/uploads/2024/05/1715475829_896_Injective-to-Launch-Layer-3-Network-What-Do-the-Technicals-Say.png)
Moreover, the derivatives trading volume of crypto has witnessed a decline of 23% over the last 24 hours. This has resulted in a traded value of $183.45M.
The open interest of the Injective is also trading flat, followed by a slight advance of 0.97%.
Also, the long liquidation for the crypto is worth $19.06K, against which the short liquidation values $10.91K. This further shows bears’ dominance in the price of crypto.
What Do Technicals Indicate about the INJ Crypto Price?
Consistent lower lows are formed on the daily chart of the INJ crypto. The following behavior of the price shows bears in power.
![Injective](https://victoriaspence.com/wp-content/uploads/2024/05/1715475829_227_Injective-to-Launch-Layer-3-Network-What-Do-the-Technicals-Say.png)
The crypto price is currently consolidating in a small range and has formed small price range candles indicating low volume in the market. It depicts the confusion between the buyers and the sellers.
The uncertain behavior of the crypto price has led to the formation of support at the level of $22.0. If the INJ crypto price breaks below the following given level, we might see further lower levels in the crypto.
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INJ/USD Chart by TradingView
The INJ crypto price is trading below the 20-day EMA, and the 20-day EMA has declined below the 50 and the 200-day EMA. It shows that the EMAs on the daily chart show a strong downtrend.
MACD can be considered neutral as its metrics are trading in negative territory but are in a bullish crossover. The MACD line trading above the signal line follows this.
The RSI is also trading in a small range and has sustained below the 50-level. This shows a weakness in the price of the INJ crypto.
Summary
Injective’s launch of its Layer-3 chain on Arbitrum coincides with INJ Crypto’s 286% price surge in the past year.
Despite a 4.17% market cap increase, bearish signs prevail with a declining long-short ratio and derivatives volume, accompanied by consistent lower lows and weak technical indicators, signaling further downside potential.
On the higher side, the INJ crypto has resistance at $36.2 and $52.0, while the support levels for the crypto are $15.60 and $19.9.
Disclaimer
This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
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