What to know:
- INJ has once again emerged from a prolonged consolidation phase after breaking a multi-year downtrend.
- Injective’s fundamentals continue to strengthen, with $34.4 billion in derivatives volume since early 2025.
- More than 7.1 million INJ have been permanently removed from circulation through the protocol’s revenue-backed buyback program.
Injective is drawing renewed attention as traders point to a chart structure that has preceded each of its major bull runs.
Analyst Logical noted that the token’s previous advances of roughly 4,898% during the 2020–2021 cycle and 6,143% in the following expansion both began the same way: a lengthy period of accumulation near cycle lows, followed by a decisive break above a descending resistance trendline.
This is reflected once again in the weekly chart. Following many years of retracement from its all-time high, INJ is currently above its long-term trend to the downside and near the lower end of its historical range. The token remains above key support levels, implying that there is gradual accumulation by buyers.
Source: X
Given the size and duration of previous cycles, it seems likely that INJ will experience a third growth cycle towards the $80-$90 region, but a weekly breakout with higher volumes would confirm this view.
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Injective’s Fundamentals Add Weight to the Bullish Case
This improved understanding of the technical side of things happens amid the continued growth of the Injective ecosystem.
According to the latest report by CoinGecko, the protocol is turning into a finance-oriented Layer 1 solution that merges trading, settlement, tokenization, and dApp creation on the same blockchain.
Since January 2025, the Injective platform has processed some $34.4 billion in derivative volumes and approximately $888 million worth of spot trades. Roughly one-fifth of the derivative volume is based on real-world assets; the total RWA volume amounts to $6.8 billion.
Source: CoinGecko
Revenue Growth Fuels INJ Burns
The increase in transactions is resulting in real profits for the protocol. The Injective chain generated approximately $3.41 million in profit in the past year, ranking it within the top ten Layer 1 chains in terms of profitability.
Source: CoinGecko
In contrast to other chains, the vast majority of its profits are used to buy back tokens for the community, thereby reducing the INJ supply forever. Over 7.1 million tokens valued at approximately $36.6 million have been burned since 2021.
Key Catalysts Ahead
A number of different things might be able to determine whether this breakout will continue following a similar path like those before it. The presence of native USDC, along with integration of Circle’s CCTP, is thought to increase the number of settlements in the Cosmos network.
Meanwhile, INJ futures have been traded at the Bitnomial exchange since April, signaling the possibility of more exchange-traded products in the coming months after applications were filed by some issuers. For now, the chart pattern remains a projection rather than a confirmed trend.
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This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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