Why Injective [INJ] is About to Take a Tumble 📉

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Key Takeaways

Injective was testing a key trendline support at the time of writing. This trendline stretched back to April, and its failure could see prices fall to $12 and $10 in the coming weeks. But who cares, right? It’s not like we’re all just sitting here, refreshing our wallets every five minutes.

Injective [INJ] looked primed for another downward leg, observed crypto analyst Ali Martinez. I mean, what else is new? It’s like watching a soap opera where everyone knows the plot but can’t look away.

AMBCrypto found that the altcoin was bearish across multiple timeframes. The buying pressure to halt the descent at the trendline support was missing. Kind of like trying to stop a leaky faucet with your pinky finger. Good luck with that.

This weakness could see the price falter and retest the $12 demand zone. A deeper correction to $10.3 would become viable, especially if Bitcoin [BTC] falls toward the $100k mark. Because why not add insult to injury?

Weekly rejection stalls bullish case

On the 1-week chart, Injective showed a bearish swing structure. The swing points were at $35.26 and $6.34, made in December 2024 and April 2025, respectively. It’s like watching a roller coaster that only goes down. Thrilling, isn’t it?

The $15.48 level marked the local weekly resistance that INJ bulls have tried to breach over the past month. They failed, and over the past two weeks, INJ faced repeated rejection at this resistance. It’s like trying to break into a club where the bouncer really doesn’t like you.

Even though the CMF was above +0.05 to reflect inflow pressure, Injective prices were still unable to breakout past the $15.5 resistance region. Sometimes, even when you’re pushing hard, the door just won’t open.

In the coming days, the 20-period moving average at $12.38 would likely be tested as support. Or, as I like to call it, the “last hope before the abyss.”

Daily chart signals: trendline under fire

On the 1-day chart, the trendline support mentioned earlier was under attack. It’s like a castle wall being bombarded by catapults. You know it’s going to give eventually.

However, the bullish order block at $12.2 was likely to serve as a demand zone, even if the trendline gave way. It’s the last stand, folks. May the odds be ever in your favor.

The technical indicators showed bears had the upper hand. CMF slipped below 0.05, signaling heavy capital outflows. Meanwhile, MACD crossed bearish weeks ago and recently dropped under zero-hinting that further losses were likely. It’s like the universe is telling you to cash out and buy a lottery ticket instead.

Lower timeframes confirm bearish drift

The lower timeframe market structure was also bearish. The lower highs and lower lows were marked in yellow. At the time of writing, the $12.67 low was under threat. It’s like watching a slow-motion car crash. You know it’s bad, but you can’t look away.

Even though the CMF was above +0.05, the bearish structure and low trading volume meant that a move downward was likely. The $12-$12.1 demand zone would be next week’s price target. So, if you’re holding, maybe it’s time to consider a career change. Just a thought. 🤔

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2025-09-01 00:28