INJ rally 14% reach $6.3 as dem short dem dey liquidate; RSI dey near overbought
Injective (INJ) jump about 14% reach six-month high near $6.3 after e recover $6 level. INJ dey trade around $6.1 (+14% for di day) as market cap rise about 12% to roughly $628M.
Di rally get support from short covering and renewed speculative demand, with over 441k short positions wey dem liquidate. Derivatives activity con pick up: open interest jump (32.3% to ~ $151M) and derivatives volume climb to ~ $337M. Long/Short Ratio rise to 1.8, with longs around 64.8%, mean say traders dey broadly bullish and dem dey add exposure.
Spot flows improve too: spot netflow turn positive to about $3.2M, show say spot selling no dey dominate. But as INJ don print fresh highs, risk of profit-taking still high. Technicals show RSI at 73 (bullish, but near overbought), wey fit make consolidation likely.
Key levels for INJ: near-term support round $5.4 (earlier support near $4.5 dem defend am) and upside resistance toward $7 if momentum hold. Traders suppose watch whether INJ fit sustain demand while funding/positioning remain constructive.
Bullish
INJ jump dey get stronger because short covering and people dey improve dia positions. Shorts bin liquidate for size, open interest and derivatives volume don rise, and Long/Short Ratio don move pass 1 with longs dey dominate — signs say demand dey actively step in and no be say price dey rise because liquidity thin. Spot netflow sef don turn positive, wey reduce di chance say the move na pure distribution.
Still, RSI high (73) and earlier article mention consolidation/pullback risk, so the bullish view dey conditional. If INJ fit hold key support (~$5.4) and sustain derivatives participation, continuation toward ~ $7 fit happen. If spot profit-taking quickens and RSI push into stronger “overbought” area without follow-through, near-term consolidation or dip likely, even though di broader tone remain positive for the coin.