Injective is our favorite altcoin, and we hold a strong conviction in its long-term potential. While we acknowledge that we are in the late stages of the bull market, we believe Injective has the potential for one more strong upward move before entering a broader market correction.
Our target for the cycle top is around $70, which appears both logical and achievable based on the current wave structure and technical indicators. In the short term, Injective remains in a minor corrective phase, which we expect to conclude within the next few weeks, paving the way for a significant bullish breakout.
Detailed Observations
- Wave Structure Analysis
- Injective is currently in the final Wave V of the macro bull cycle.
- The corrective Wave IV appears to be complete, and we are observing the development of sub-waves within Wave V.
- The target zone of $70 aligns with the 0.618 Fibonacci extension and represents a realistic cycle peak.
- Short-Term Correction
- The price is currently consolidating within a smaller Wave (b), which is expected to transition into Wave (c) of the upward move.
- Support levels at $19.35 (0.618) and $16.47 (0.786) have been holding well, providing a solid base for the next leg upward.
- Key Fibonacci Levels
- 0.382 retracement ($13.03): Represents a critical level for support in case of a deeper correction.
- 0.5 retracement ($8.48): Acts as the ultimate invalidation point for the bullish scenario.
- Momentum Indicators
- The RSI suggests neutral conditions, leaving room for further downside before significant bullish momentum resumes.
- Volume remains relatively subdued during the correction phase, indicating accumulation rather than distribution.
Projected Targets
- Short-Term Target:
- A breakout from the current consolidation should push Injective toward $30-$40, reclaiming the momentum necessary to reach the cycle top.
- Cycle Top Target:
- Based on the broader wave structure and Fibonacci extensions, the $70 zone remains the most logical target for the completion of Wave V.
Key Points to Monitor
- Reaction to Support Levels:
- Price must hold above $19.35 (0.618) to maintain the bullish structure.
- A breakdown below $16.47 (0.786) would delay the bullish scenario.
- Breakout Confirmation:
- A breakout above the local high near $25 would confirm the resumption of the bullish trend.
- Volume and RSI Divergences:
- Increasing volume and bullish divergences on RSI will signal the start of the next impulsive wave.
Conclusion
From our perspective, Injective remains exceptionally well-positioned for one final strong upward move in this bull cycle. While short-term corrections persist, they appear to be part of a healthy consolidation phase before the next leg higher. Our $70 target remains intact, provided support levels hold, and bullish momentum resumes as expected.
We remain highly confident in Injective’s potential and look forward to significant gains as the market resolves this corrective phase. Let us know if further refinements or insights are needed!