What is Injective Protocol?
Injective Protocol is a fully decentralized exchange protocol for cross-chain margin, perpetual swaps, derivatives, forex, futures, and spot trading. The main aim of an Injective network is to create a free and inclusive decentralized markets financial system access. Moreover, Injective Protocol is permission less with zero gas fees and high transaction speed. It is collision-resistant and employs the Verifiable Delay Function (VDF) to prevent front running.
Injective Protocol Overview
|Price Change 24h||-0.10%|
|Price Change 7d||-3.66%|
|Circulating Supply||56,655,553 INJ|
|All time high||$25.01|
|All time low||$0.6557|
|Injective Protocol ROI||+450.86%|
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Injective chain is an important part of Injective Protocol, and it is developed to support Ethereum consistent DeFi applications. The INJ chain is implemented as a Cosmos SDK module built with EVM on Tendermint called Ethermint. Injective’s ecosystem consists of Relayers, Blockchains, dApps, data, Exchanges, NFTs, Oracle, Stable coins, Validators, and Wallets. Apart from this, Injective’s incubator Burnt Finance is a fast and low transaction fees NFT trading platform, and it is the first decentralized NFT protocol on Solana.
Eric Chen founded the Injective Protocol in 2018, the co-founder and CEO of Injective labs. A group of developers and experienced engineers are working behind Injective labs to seamlessly create and execute decentralized financial systems and services. The private test net was released in 2019, and subsequently, the protocol evolved with the release of new facilities and services. To a large extent, the team has succeeded with the DeFi application and avoiding third-party intervention in cross-chain trades.
How Does Injective Protocol (INJ) Work?
Injective Protocol constitutes four main parts Injective chain, Injective API nodes, smart contracts on Ethereum, and Injective front end interface.
The INJ chain includes a decentralized side chain relayer network which acts as a layer 2 derivatives platform, a decentralized order book, and a trade execution coordinator. Generalized derivatives platforms are developed using Injective’s future protocol and general smart contracts. The Injective’s future protocol allows traders to create, enter and, execute perpetual swap contracts. With a two-way Ethereum peg zone, ERC-20 and ETH tokens can be sent to the Injective chain and the EVM-compactible execution environment.
Injective is a token-based protocol. Hence, main actions related to protocol interaction and token economics are done with smart contracts. Important smart contracts of Injective Platform includes:
- Staking contracts for delegation, providing rewards and governance.
- The Injective future contract for executing perpetual swap contracts on any arbitrary market
- Injective bridge contracts facilitate a two-way peg between Ethereum and the Injective chain.
- Injective coordinator contracts for derivative transactions on Ethereum and Injective chains.
Injective API nodes are mainly used to provide transaction relay service as well, as they serve as a data layer. API nodes help direct uses with a Websocket API and HTTP to interact with the protocol. API nodes formulate appropriate transactions and then relay them to the Injective chain. API also provides abstractions for governance, voting, and staking. In addition to that, API nodes act as a data layer for clients, and the API is highly suited for an Injective fronted interface.
Features of Injective Protocol
Injective Protocol’s fully decentralized, zero gas fees trading experience is provided with the help of cosmos-backed layer 2-sidechain. It enables fast and accurate transactions. Price feed Injective Protocol allows anyone to create and trade on the market. The Injective Protocol’s decentralized market and exchange are realized through the following features.
- The Injective Protocol has cross-chain derivative trading that is facilitated by Tendermint based proof of stake, which takes place across Cosmos, Ethereum, and all layer-1 protocols.
- The Injective Protocol supports around 10,000 transactions through Tendermint with 1-2 second block time.
- A central limit order book fully assists the trading infrastructure of the Injective Protocol. CLOB helps to match all bids and offers as per time and priority. In particular, CLOB combines the user-friendly interface and speed of centralized exchange with the transparency of decentralized exchanges.
- The Injective network’s decentralized order book exchange protocol supports cross-chain crypto trading, perpetual, futures, and exotic assets over BSC, Ethereum, and Cosmos.
- Injective protocols have community-driven network governance, and a decentralized community governs it, and a decentralized autonomous organization (DAO) votes on Injective network-related changes and proposals.
- It provides a seamless blockchain development facility with instant finality, high throughput, and cross-chain interoperability.
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Metamask mobile app allows users to connect their wallets with Injective exchange. Together the project keeps its promises and missions for powering the future of finance.
Use Cases of INJ Token
Injective is the native token of Injective Protocol with a ticker symbol INJ. It is an ERC-20 token created with the OpenZeppelin contracts Ethereum package and is an upgradable ERC-20 token. Users can swap ERC-20 tokens for native INJ using Peggy bridge. Injective Protocol burns 60% of trading fees every two weeks; hence it executes a buyback and buys burn mechanism. Token burning reduces the supply over time and increases the demand. INJ has a maximum supply of 100,000,000 INJ.
- Protocol governance: INJ Token holders can vote for governance changes in the ecosystem.
- Collateral backing for derivatives: Instead of stable coins, INJ can be used as margin and collaterals for the Injective derivate market.
- Exchange fee value capture: The Exchange fee will undergo a Buy-back-and-burn mechanism to increase the token’s value.
- Exchange participation incentivize: It is a liquidity mining scheme by which a fixed number of INJ tokens are distributed daily based on the liquidity provided by each network participant.
- Tendermint based proof of stake security: Protocol incentivizes nodes to stake INJ token and participate in network consensus with block rewards.
Injective Protocol (INJ) Technical Analysis
The week was an easy start for the cryptocurrency market. However, most of the national stock exchanges traded red; digital coins markets are back in the green after a correction. The global crypto market cap stood at $304,581,767.62. Investors are worried that a successive increase can result in volatility any time soon.
Injective Protocol price today is $6.20 with a 24-hour trading volume of $44,045,265.75 and had a significant fall compared to the previous session. The current market cap is $304,581,767.62, with a circulating supply of 48,653,971 INJ. Regarding historical data, the all-time high was at $25.01 on April 30, 2021, and the all-time low was noted at $0.6557 on November 3, 2020.
The price chart of Injective Protocol (INJ) exhibits huge market volatility, which is visible in the price oscillator chart. For every rise, there is a pullback; hence the coin has given good swing opportunities for traders.
Technical analysis of the short-term charts, Injective Protocol (INJ) has formed a triple top bearish pattern and break down further. It has taken support at $10 three times and finally failed to bounce back. There was a short squeeze with a high volume indication on December 11, 2021 but the Injective Protocol (INJ) coin could not turn around at that level. The on-balance volume indicator supports the trend after a further fall of $1 in the chart. After a significant medium-term fall, INJ has started moving upwards. As of now, INJ has been trading in green as slight recovery is observed.
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After looking at the resistance and support line, it is observed that the recent Injective Protocol price took support at $5.439 and slowly started moving up. Any further skids can take INJ to $4.592 and subsequently to the major support of $3.745. Traders can sell Injective Protocol if it breaks down from the major support. On the other side, Injective faces the first resistance at $6.913. Above this level, INJ is eyeing towards $7.613, and major resistance is placed at $10.081.
Laying eyes on some of the major technical indicators, MACD has started crossing the signal line from the down, which indicates the chance of an up move. RSI is rising to 59.34, and it just crossed the oversold zone. Stochastic RSI is looking for an up move and bolsters INJ.
Most technical indicators confirm the trend that, after the toppling, candles are trying to settle above the middle line of the Bollinger band, which is a good sign. Due to the recent selling pressure, Injective Protocol 50 EMA is below the current price, and 200 EMA is above the current price.
In a nutshell, as per technical analysis, most of the major technical indicators are giving the signal for an up move, but still, there are headwinds. Now traders can look for a swing opportunity; still, value investors can wait for confirmation above the $10 level for a long-term investment opportunity.
Injective Protocol Price Predictions 2022-2026
Crypto analysts are bullish about the future price of Injective Protocol. Considering the all-time high of INJ, the current price of Injective Protocol is a significant drop for holders. At the same time, when it was listed with Binance in October 2020, the price was just 0.4 USD. Hence there has been a remarkable growth in the value of the Injective Protocol in the past few months, and it has given a good return to its investors. At this point, we need to know, will Injective Protocol be a profitable investment for the future? Let us have a look at the Injective Protocol forecast for the upcoming years and not just INJ cryptocurrency prediction today.
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Injective Protocol Price Prediction 2022
The price of the Injective Protocol starts around $8.58. Despite the minor pullbacks in price, INJ tokens are expected to move to a maximum of $9.04 by 2022. As per the Injective Protocol price predictions, the minimum and average price for the year 2022 will be around $7.57 and $8.07.
Injective Protocol Forecast 2023
Injective Protocol crypto may begin at $10.75. Injective Protocol forecast is foreseeing a closing price of $9.05 by the year-end.
Injective Protocol (INJ) Price Prediction 2024
Injective Protocol coin predicted an opening at $8.86. The minimum and average prices might reach at $7.64 and $9.13 respectively.
Injective Protocol Price Predictions 2025
INJ crypto price prediction anticipated beginning at $11.61, eventually, reach $14.22 within the first half. INJ price might reach to a minimum level of $10.69 and average level of $12.68.
Injective Protocol Price Prediction 2026
There might be correction seen in this year 2026. As per our Injective Protocol price forecast, the price is expected to reach at least $10.11, and the maximum price might be around $12.15 and the average price might be around $11.05 at the end of the year. Based on the technical analysis and Injective Protocol forecast, both the short-term and long-term future of the coin looks bullish. Crypto enthusiasts can invest in INJ coin for a five-year time, taking a bit of proper investment advice.
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Frequently Asked Questions
Is Injective Protocol a good investment?
INJ price prediction based on algorithm shows it will be a good investment for the future, but the digital coin price always has huge volatility. This volatility of the market may necessarily reflect in the price of INJ. The above predictions are for informational purposes; it is always better to carry out your own research and take proper financial advice before investing.
Where to buy Injective Protocol?
You can buy INJ from major crypto exchanges such as Binance, Uniswap, Kracken, Coinone, Gate.io, Gemini, Huobi Global, Poloniex, Sushi, UpBit, WazirX, and many more.
What will Injective Protocol price prediction 2030 be?
Our Injective Protocol forecast suggests that the maximum price of INJ might be around $29.51, and it will give handsome returns to the investor. However, due to the high volatility of the crypto market, traders must invest only after doing their share of analysis.
Will Injective Protocol (INJ) price increase in the future?
Yes, definitely! The INJ price will increase and reach up to $9.04 at least by the end of 2022, and the value majorly depends on the market trend. But, the answer to how much will Injective Protocol price increase cannot be forecasted with 100% accuracy.
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