Injective (INJ), a layer-one blockchain, is approaching the culmination of its token unlock, as revealed by the Token Unlocks handle on X. The disclosure outlines that INJ is set to achieve full unlocking on January 21, with 3.66 million tokens poised for release, bringing the total Injective supply to 100%.
Currently, approximately 83.75 million INJ tokens are in circulation. The impending release of the additional 4.35% into the market would result in the entire circulating supply reaching 100 million tokens. This development presents an opportunity for market participants who missed INJ’s remarkable performance to acquire a stake in the cryptocurrency, with the current price at $37.70.
Despite the recent market downturn on January 3 affecting INJ, it has demonstrated a remarkable 100% 30-day increase. Noteworthy is the cryptocurrency’s impressive All-Time High (ATH) of $44.61 on December 26, 2023, representing a staggering 3,515% increase since its 2020 launch.
Injective (INJ) Poised For Potential Rally
Anticipating the upcoming event, some market participants, including analyst Captain Faibik, speculate that Injective could be poised for another rally. Faibik suggests that INJ has formed a bullish flag and might experience a surge beyond $60. Analyzing the chart, Faibik notes the formation of two rallies connected by a brief consolidation period, potentially leading to a continuous uptrend with higher and lows.
However, potential selling pressure looms as the market experienced a crash on January 3, initially causing a dip in INJ’s price to $33.55. Volatility is increasing, as indicated by the 4-hour chart, and the Bollinger Bands suggest overbought conditions after INJ’s previous rise to $40.28.
The $40.28 level has become a significant resistance point, requiring a surge in buying pressure to overcome the cluster of sell orders. Despite the challenges, the Chaikin Money Flow (CMF) indicates a low likelihood of a swift bullish reversal, registering at -0.17, signifying an increase in selling pressure.
Despite challenges, INJ stands as a potential contender for an upward trajectory. Sustaining levels above $35, as per Captain Faibik’s analysis, might pave the path for the anticipated climb towards $60.