INJ Technical Analysis Feb 28

INJ is maintaining an LH/LL structure within a strong downtrend and is being tested at the $2.89 level with an 11% drop in the last 24 hours. The bearish structure appears to continue unless the $3.07 swing high is broken, but BTC correlation will play a critical role.

Market Structure Overview

INJ’s current market structure indicates a clear downtrend. The recently formed lower highs (LH) and lower lows (LL) pattern shows that bearish momentum is dominant. The price is trading below EMA20 ($3.29), the Supertrend indicator is giving a bearish signal, and resistance is positioned at $3.91. The 11.29% drop over 24 hours and narrow range ($2.87-$3.27) reflect weak buying pressure even within consolidation. In multi-timeframe (MTF) analysis, a total of 10 strong levels were identified across 1D, 3D, and 1W charts: 2 supports/2 resistances on 1D, 1 support/2 resistances on 3D, 2 supports/3 resistances on 1W. These levels will determine structural integrity. RSI at 37.43 is approaching oversold, while the MACD histogram shows positive divergence, but this alone does not confirm a trend change. The overall outlook emphasizes that the bearish structure remains intact, with a risk of deeper correction if the $2.80 support breaks. Market structure analysis defines higher highs/higher lows (HH/HL) as a bullish trend and lower highs/lower lows (LH/LL) as a bearish trend; INJ is currently stuck in LH/LL.

Trend Analysis: Uptrend or Downtrend?

Uptrend Signals

Bullish signals are limited but worth watching. The recent $2.5643 swing low (score 71/100) held as strong support, and price made a slight rebound from there. Positive histogram on MACD indicates hidden bullish divergence in momentum – the indicator is drawing a higher low while price makes a new low. The critical threshold for HH/HL structure is the break of the recent LH at $3.0707 swing high (score 71/100). This break of structure (BOS) could trigger bullish continuation toward $3.2891 (score 70/100) and $3.91 Supertrend resistance. Additionally, $4.9304 structural target (score 31) represents a long-term bullish scenario. However, price is currently below EMA20 and RSI at 37, meaning bullish evidence is insufficient; these are just early signals for speculative buying.

Downtrend Risk

The downtrend is dominant: LH/LL pattern is clear, rejected from the recent swing high at $3.2891 and dropped to a new LL at $2.87. The $2.8009 swing low (score 61/100) is under test; if broken, a quick drop to $2.5643 is possible. Supertrend is bearish, and BTC’s downtrend is pressuring altcoins. Continuation of LL brings the $1.1223 bearish breakdown target (score 22) into play. Bullish BOS is required for change of character (CHoCH); otherwise, LH/LL remains intact and trend strength increases. Although RSI is declining, it is not oversold yet, so selling pressure may continue.

Structure Break (BOS) Levels

BOS levels confirm trend changes. Bullish BOS: Break and close above $3.0707 swing high – this invalidates the LH and signals a shift to HH/HL, opening the door to $3.2891 and $3.91. Bearish BOS: Break of $2.8009 swing low and drop below $2.5643 – this strengthens the LL structure and paves the way to $1.1223. In MTF, 1W resistances ($3+ levels) are dominant, while 1D supports are weak. BOS confirmation comes with swing closure and volume increase; the current consolidation carries fakeout risk. Watch these levels: A break invalidates the structure and starts a new trend leg.

Swing Points and Their Importance

Recent Swing Highs

Recent swing highs act as resistance: $3.0707 (71/100) is the most critical, protecting the bearish structure as LH. If it holds, selling is triggered. The one above at $3.2891 (70/100) is near EMA20 and an old high; rejection here reduces CHoCH risk. These points align with fib retracements (around 0.618 level) and accumulate high liquidity in volume profile. The role of swing highs is to test trend strength; rejections in INJ reinforce bearish bias.

Recent Swing Lows

Swing lows act as support: $2.8009 (61/100) is under current test; if it holds, it brings short-covering. The one below at $2.5643 (71/100) is strong, overlapping with MTF support – this is the LL base. A break confirms bearish BOS. Swing lows are important for bottom hunters; scores indicate liquidity. In INJ, lows are progressively lower, confirming the LL pattern.

Bitcoin Correlation

INJ has high correlation with BTC (%0.85+); BTC is in a downtrend at $63,636 with Supertrend bearish. If BTC supports at $62,536/$60,000 break, altcoin dumps accelerate, and INJ drops below $2.56. If BTC resistances at $64,315/$66,250 are surpassed, INJ gets a rebound, triggering $3.07 BOS. Rising BTC dominance crushes alts; currently in caution mode: BTC below $60K is a red alarm for INJ. Details for INJ Spot Analysis and INJ Futures Analysis.

Structural Outlook and Expectations

Structural outlook is bearish: LH/LL intact, BOS levels under watch. Break of $2.80 required for trend continuation, $3.07 BOS for reversal. MTF resistance weight supports downside, MACD divergence is the only hope. Risk management: Stops beyond swing low/high. Market structure is dynamic; follow volume and closures. Long-term, if 1W supports hold, accumulation is possible, but short-term bearish bias dominates.