Table of Contents
Injective (INJ) is leading the rally for artificial intelligence (AI) related tokens. Over the past day, INJ registered a 37% price jump to soar to an all-time high of $39.98. With Fetch.ai (FET), another AI-related token also producing a 23% jump within the same timeframe, AI tokens could be ready to go on a mega-bullish run.
Buyers flip another resistance level to support
The surge of crypto buyers to INJ, the native token of the layer-one blockchain powering next-generation DeFi applications can be attributed to the potential for airdrops by many projects building on the protocol.
This has led to a massive surge in INJ’s price over the past three weeks. In December alone, INJ has gone from $15.22 to $39.98, representing a significant 167% price increase.
Consequently, INJ has smashed resistance levels at $23.9, $28.9, $33.8, and most recently $37.6. Traders looking to ride the bullish wave can wait for a retest of the new support level at $37.6 before entering new long positions. Short-term profit levels will lie at $42 to $45.
With the Relative Strength Index (RSI) firmly nested in the overbought zone, INJ has a very strong bullish narrative in the near term.
Shorts caught up in massive losses
Whenever a token experiences a sharp jump in price, bearish speculators swing in, looking to sell the top. However, INJ’s bullish rally looks primed for more upside.
This left short traders in the futures market in the red with sellers holding 82.9% of the total losses. This amounted to $1.88 million worth of liquidated INJ short positions.
With Injective’s blockchain swift transaction speed and INJ’s various use cases (transaction fees, governance, and staking for network security), the token’s potential for more gains looks promising in the near future.
Disclaimer: This article does not constitute trading, investment, financial, or other types of advice. It is solely the writer’s opinion. Please conduct your due diligence before making any trading or investment decisions.
%20Hits%20New%20All-Time%20High%20as%20AI%20Token%20Records%20Massive%20Jump){kind=link}