Injective’s native token, INJ, is attracting fresh market attention on Friday, February 20, as price action stabilizes near a crucial technical region.
According to the crypto analyst Nehal, participants are observing consolidation around the 3.20–3.23 zone, widely interpreted as a potential accumulation area.
The tightening range suggests declining selling pressure, encouraging speculation that buyers may be preparing for a renewed bullish phase if momentum is building.
Even with a better base, experts point out that the risk of a decline still remains well-defined. A decisive break below 2.55 will kill the bull case, suggesting that the selling interest has resumed the dominant position.
Such a move may result in a volatile session and create the conditions for a deeper corrective move, especially in the event of a weakening of the overall sentiment or a decline in trading activity.
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INJ Eyes Rally Toward $4.25 Amid Growing Strength
On the positive side, there are a few areas of interest that traders are watching, which could potentially impact the next move in the market.
The 3.55 level is the initial reaction point, while the 3.90 level is the next level of interest. In the event that the rally is sustained, there is potential to test the 4.25 level, which is based on previous supply and the trend picture according to the current technical projections.
Source: Nehal X Post
Market players are looking to the 3.15 figure as a key support level. Holding above here will continue to add to the strength of the buyers, while a fall below here could be a negative influence.
A solid breakout above 3.50, on the other hand, is being considered a possible momentum generator, which could attract breakout traders to the INJ markets.
Momentum Indicators Reinforce Bullish Potential
According to TradingView, as of Friday, February 20, INJ’s price action has transitioned from a period of consolidation to a budding bull run. While the stock had been trading in a range of $3.00 to $3.30, it was a sign of indecision.
There was a breakout in the stock’s price, which propelled it to the $3.50 to $3.60 range in no time. This was followed by a choppy reaction; however, buyers are coming in strongly to push the price up once again.
Source: TradingView
Momentum indicators support the rally. RSI indicators remain in the low 60s, indicating a buildup in bullish momentum. MACD indicators remain positive and continue to show increasing bars, indicating the upward momentum after the dip.
Overall, the indicators suggest that the bulls are still in control, though the recent wild swings may be a sign of consolidation or a pullback before the upward trend continues.
Also Read: Injective (INJ) Struggles at Resistance Amid Persistent Selling Pressure