Market Overview for Injective/Tether (INJUSDT) - 2025-11-07

Summary
• Price surged from $6.06 to $7.23, forming a bullish continuation pattern.
• RSI overbought, MACD positive; volatility expanded in Bollinger Bands.
• Volume and turnover aligned with price momentum, confirming strength.

Injective/Tether (INJUSDT) opened at $6.06 on 2025-11-06 at 12:00 ET and closed at $7.23 the following day at the same time. The 24-hour high was $7.24, and the low was $6.06. Total volume traded was 840,736.46 INJ, with notional turnover reaching $5,160,399.79.

The candlestick pattern over the past 24 hours showed a strong bullish bias, with a distinct Bullish Engulfing formation from 2025-1107 16:30 to 17:00 ET (UTC-4). The price action suggests a potential reversal from a downtrend to an uptrend, supported by a breakout above the $7.00 psychological level.

Moving averages on the 15-minute chart indicate that the 20-period MA (6.43) and 50-period MA (6.53) have been crossed by price, confirming a bullish trend. On the daily chart, the 50-period MA is at $6.35, with the 100-period at $6.27 and the 200-period at $6.18, reinforcing a bullish medium-term setup.

The RSI reached 78.2 during the last 15-minute candle, signaling overbought conditions, while the MACD was positive at 0.18, with the signal line at 0.14, indicating sustained upward momentum. Bollinger Bands showed a significant expansion, with price trading near the upper band, suggesting high volatility.

Fibonacci retracement levels were notable during the $6.06–$7.24 swing. Key levels at 38.2% ($6.53) and 61.8% ($6.83) were tested and held, with the price closing above the 61.8% level for the first time in this cycle, suggesting further upside potential.

The Bullish Engulfing pattern, observed from $6.92 to $7.09, followed by a breakout above $7.16, appears to confirm a shift in sentiment. The volume surged during this move, with the $7.16 close at 54,603.76 INJ traded, reinforcing the strength of the pattern.

The formation of this pattern, coupled with strong volume and technical indicators, supports a continuation of the bullish trend. However, a pullback to the $6.83–$6.89 range could provide a critical test of buying strength. Investors should watch for a rejection at this level or a continuation above $7.30 for confirmation of a breakout.

For a backtest strategy based on the Bullish Engulfing pattern, the current setup is promising. The pattern was confirmed by strong volume and a break of key psychological levels, aligning with the conditions typically used in such strategies. However, the pattern must be validated by a close above $7.23 or a continuation of the upward trend on rising volume for a successful trade setup.

Backtest Hypothesis
Given the current data limitations, a feasible approach to retrieving the Bullish Engulfing pattern data for INJUSDT would be to retry using the explicit format “BINANCE:INJUSDT” to ensure the data provider recognizes the symbol correctly. If the data is successfully retrieved, the backtest could evaluate trades entered at the open of the candle following the pattern and held for 3 days or until a stop-loss at $6.50 is triggered. A profit target of $7.30–$7.50 would align with the current Fibonacci and RSI readings, offering a favorable risk/reward ratio.