Market Overview for Injective/Tether (INJUSDT)

Summary
• Price declined from $5.29 to $5.09, forming bearish engulfing patterns and testing support near $5.07.
• RSI and MACD signaled overbought conditions earlier, but momentum shifted to bearish as volume spiked during the selloff.
• Volatility expanded during the sell-off, with price breaking below key Bollinger Band support levels.
• Fibonacci levels at $5.16 and $5.07 acted as resistance and support, respectively, guiding short-term action.
• Turnover increased in the last 6 hours, confirming bearish momentum amid declining prices.

Injective/Tether (INJUSDT) opened at $5.29 and fell to a 24-hour low of $4.997 before closing at $5.09 as of 12:00 ET. The total 24-hour volume was 377,642.05 INJ, with notional turnover of approximately $1.97 million.

Structure & Candlestick Formations

Price declined sharply during the early Asian session, forming a bearish engulfing pattern as it broke below key support levels. A doji formed near $5.16, suggesting indecision before further bearish pressure took hold. The recent swing low near $5.07 appears to have capped the sell-off for now, with traders watching for a potential bounce.

Key Indicators

RSI moved into oversold territory near 30, while MACD turned bearish with a negative crossover in the afternoon. Bollinger Bands widened during the selloff, with price breaking below the lower band at one point, indicating heightened bearish volatility. A 50-period moving average on the 5-minute chart also crossed below the 20-period line, reinforcing the downward trend.

Volume and Turnover

Volume surged during the selloff, especially in the 6-hour period from 6:00 to 12:00 ET, with the largest 5-minute bar hitting 44,646.12 INJ. Turnover increased in line with volume, confirming the bearish breakout rather than signaling divergence. The increased volume suggests a conviction move rather than a false signal.

Fibonacci and Support/Resistance

The 61.8% Fibonacci level of the recent bullish swing from $5.07 to $5.35 came in near $5.16 and acted as a key resistance. Price later broke below the 38.2% retrace level of $5.10, finding support at the 61.8% level of $5.07 in the final hours. These levels may define the next short-term range or breakout potential.

Injective/Tether may test $5.07 as a critical support level in the coming 24 hours, with a break below this level potentially targeting the next psychological level at $5.00. Traders should remain cautious as overbought indicators turned bearish and momentum is skewed to the downside. A reversal above $5.16 would suggest a resumption of bullish bias.