- INJ has risen 66% in two weeks and more than 1,500% in the past year, hitting an all-time high above $27.
- Why are the prices of injectables increasing? Catalysts include upcoming network upgrades, weekly token burns, and Helix DEX activity.
The Injectable (INJ) token has been one of the standout performers, rising by more than 60% in the past week with its price crossing $20.
On December 12, INJ prices soared to a high of $27 across major cryptocurrency exchanges, hitting new all-time highs as major altcoins looked to recover from losses incurred on Monday.
As Injective looks to continue its upward trajectory, one of the questions to ask is what led this token to its new ATH. So will this rally be sustainable, or will weakness ruin the bulls’ Christmas party?
Why are injectable drug prices soaring?
In the past 30 days, the price of Injective’s native token has surged more than 55%, and its steady rise since reaching a low in December 2022 has included a parabolic rise of 1,570%. In recent weeks, positive ecosystem news, combined with broader bullish sentiment, has driven INJ higher.
One of the catalysts over the past few days has been Injective’s weekly token burn. The most recent of these involved $65,000 worth of INJ being incinerated and permanently removed from circulation.
During the burn auction, Injective also witnessed a significant increase in total INJ staking. According to on-chain data, $1 billion worth of tokens have been staked so far.
Valued at over $1 billion $INJ It is now staked on the chain.
That’s it. That tweet.
— Injective 🥷 (@Injective_) December 12, 2023
This outlook is putting pressure on Injective’s upside ahead of its recently announced upgrade called Volan. According to the Injective team, this will be the largest mainnet upgrade in the history of layer 1 blockchains.
Injective announced the Volan upgrade on November 30, and INJ prices soared more than 66% in the following two weeks. Network activity around the injective-based decentralized exchange (DEX) Helix also contributed to the upward trajectory.
INJ price outlook
With INJ trading some of its intraday gains at around $26 at the time of this writing, continued strength could mean the price in buyers’ eyes could rise above $30. A reversal of weakness amid the broader market pullback could signal potential support in the $20-$18 range.