Bitcoin News Today: Injective (INJ) Tests $12.20 Support Amid Bullish Setup for 100% Rally

Injective (INJ) price is currently testing a key support zone near $12.20 after a nearly 20% pullback from its July 28 high of $16.35. This level aligns with the 50-day simple moving average and previously acted as resistance, making it a critical area for the token’s near-term direction. A successful defense could set the stage for a bullish breakout, with potential targets suggesting a 100% rally to $25 [1].

The recent decline occurred despite several positive developments in Injective’s ecosystem, including progress on the SharpLink Gaming’s $1 billion Ethereum treasury and a significant institutional filing. The CBOE, the largest options exchange in the U.S., has filed to list the Canary $INJ Staked ETF in the United States, signaling growing institutional interest in the asset [1].

Technical analysis indicates that a confirmed bounce from the $12.20 support zone or the lower boundary of the ascending triangle near $11.20 could reinforce the bullish structure and support a retest of the $15.50–$16.00 resistance level. If INJ reclaims the 20-day EMA and breaks above this range on strong volume, it could trigger a measured move toward $25. However, a breakdown below $11.20 would invalidate the bullish setup and expose the token to further downside risks [1].

In the broader market, crypto assets have faced downward pressure due to strong U.S. economic data, including a 104,000 increase in private-sector jobs and a 3% GDP growth in the second quarter. These figures have intensified expectations of a hawkish Federal Reserve stance, potentially delaying rate cuts and dampening risk appetite [2]. As a result, the crypto market capitalization fell by 1.65% as of July 30, with tokens such as Bonk (BONK), Floki (FLOKI), and Dogwifhat (WIF) experiencing sharp declines [2].

However, technical strength in Bitcoin (BTC), which has formed a bullish pennant pattern, may provide a near-term catalyst for a rebound in altcoins like INJ. If BTC stabilizes within its $118,000 range, it could offer a tailwind for riskier assets in the space [2].

The growing institutional adoption and bullish technical setup for INJ present a compelling case for a potential recovery, though close monitoring of macroeconomic developments and on-chain behavior will be essential for investors [1].

Source: [1] INJ Price Targets $12.20 Support in Bullish Setup Before a Potential 100% Breakout Rally (https://crypto.news/inj-price-targets-12-20-support-in-bullish-setup-before-a-potential-100-breakout-rally/)

[2] Why Is the Crypto Market Down Today, and Will It Rebound? (https://crypto.news/why-is-the-crypto-market-down-today-and-will-it-rebound/)