Why did the price of INJ fall?
Injective (INJ) dropped 25.18% in the last 24 hours, falling more than the overall crypto market, which declined by 9.31%. Here’s why:
- Market-Wide Selloff – The crypto market is showing signs of fear, with Bitcoin gaining dominance.
- Technical Breakdown – INJ fell below key price levels, triggering forced sell-offs.
- Profit-Taking After News – Pineapple Financial’s $8.9M INJ purchase didn’t keep the price up.
Deep Dive
1. Market-Wide Risk-Off Sentiment (Negative Impact)
What happened: The total value of all cryptocurrencies dropped by 9.31% in 24 hours. Bitcoin’s share of the market increased to 59.67%, as investors moved toward safer options. The Fear & Greed Index, which measures market sentiment, dropped to 35, indicating “Fear.” Meanwhile, altcoins (cryptocurrencies other than Bitcoin) saw a big decline this week.
What this means for INJ: As a more volatile altcoin, INJ was hit harder by the selloff. Data shows that leveraged traders (those borrowing money to trade) were closing positions, with over $1.23 trillion in open contracts being reduced.
2. Technical Breakdown & Liquidation Cascade (Negative Impact)
What happened: INJ’s price fell below important moving averages (average prices over time), specifically the 7-day average ($12.02) and 30-day average ($12.88). The Relative Strength Index (RSI), a tool that shows if an asset is oversold or overbought, dropped to 16.9, signaling the coin is deeply oversold. Another indicator, the MACD, also showed bearish momentum.
What this means: These technical signals triggered stop-loss orders (automatic sell orders to limit losses), causing a cascade of selling. Trading volume surged to nearly $395 million, a big jump from the previous day. Based on Fibonacci retracement levels (a method to predict support levels), the next price support is around $7.99.
What to watch: If INJ stays below $9.30, it could continue falling toward $7.99.
3. Pineapple Financial News Fails to Offset Market Pressure (Mixed Impact)
What happened: On October 7, Pineapple Financial announced a plan to buy $100 million worth of INJ for its treasury, starting with an $8.9 million purchase. Despite this, INJ’s price dropped 25% after the announcement.
What this means: The market likely anticipated this news, as INJ had already risen nearly 7% the previous week. The price drop reflects a common pattern called “buy the rumor, sell the news,” where traders sell after positive news is confirmed. Also, Pineapple’s gradual buying approach didn’t create a strong enough boost.
Conclusion
INJ’s recent price drop is due to a combination of broad market fear, technical selling triggers, and fading excitement from recent positive news.
Key point to watch: Will INJ hold the $7.99 support level, or will it fall further toward its yearly lows? Keep an eye on Bitcoin’s price movements and INJ’s staking activity on the blockchain for signs of a turnaround.
What could affect the price of INJ?
Injective’s price depends on big investors getting involved, technology improvements, and changes in market mood.
- Big Investors Buying and Staking – Pineapple Financial’s $100 million plan to stake INJ tokens cuts down the available supply and increases demand.
- ETF Approval Potential – Canary Capital’s plan to launch a staked INJ ETF could bring more institutional money if regulators approve it.
- Growing Ecosystem – New features like Ethereum compatibility and innovative DeFi products, such as pre-IPO derivatives, help attract more users.
Deep Dive
1. Institutional Demand & Staking (Positive Impact)
Overview: Pineapple Financial recently bought $8.9 million worth of INJ tokens as part of a $100 million treasury strategy. These tokens are staked, meaning they are locked up and not available for trading, which lowers the supply. Staking offers about a 12.75% annual return, encouraging holders to keep their tokens long-term. Other firms like Rex Shares and Osprey Funds are also working on staked INJ ETFs (CryptoTimes), showing growing confidence from big investors.
What this means: With fewer tokens available to sell and attractive staking rewards, prices could stabilize or rise. If the ETF gets approved, demand could increase even more, though delays from the SEC remain a risk.
2. Tech Upgrades & Use Cases (Mixed Impact)
Overview: Injective is now compatible with Ethereum’s technology but runs transactions about 12 times faster, which is a big advantage. It also offers unique financial products like pre-IPO perpetual contracts (for example, synthetic shares of companies like OpenAI). However, it faces competition from Ethereum’s own upgrades and platforms like Robinhood offering tokenized stocks (Cointelegraph).
What this means: Injective’s unique features, like zero gas fees on derivatives, could attract users. But since some products target niche markets, the token’s value could be affected if those markets slow down.
3. Market Mood & Bitcoin’s Influence (Potential Downside)
Overview: The crypto market’s fear/greed index is currently at 35, indicating fear. Bitcoin controls about 59.5% of the crypto market. INJ’s price moves closely with Bitcoin, with a 0.87 correlation over the past 30 days (according to CoinMarketCap).
What this means: For INJ to rise significantly, the overall altcoin market needs to improve. As long as Bitcoin dominates, INJ might struggle even if its fundamentals are strong.
Conclusion
Injective’s future depends on balancing growing interest from big investors with broader market challenges. Keep an eye on Pineapple Financial’s staking progress and any updates from the SEC on ETFs. If altcoins become popular again, Injective’s limited token supply and innovative DeFi features could help it bounce back.
Will staking demand be enough to overcome regulatory uncertainty in Q4?
What are people saying about INJ?
The Injective (INJ) community is divided between cautious pessimism and hopeful optimism. Here’s what’s currently shaping the conversation:
- Bearish price charts hint at potential drops
- Upcoming Ethereum Virtual Machine (EVM) upgrade excites developers
- Filing for a staked ETF supports institutional interest
In-Depth Look
1. @ali_charts: Price breaking key support signals bearish trend
"INJ has officially entered a new leg down!"
– @ali_charts (189K followers · 2.1M impressions · August 30, 2025, 8:01 PM UTC)
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What this means: The price of INJ fell below a critical support level at $9.50, which now acts as resistance. The Relative Strength Index (RSI) is at 32, indicating the token is oversold, but there’s no clear sign yet that the price will bounce back. This suggests a bearish outlook in the short term.
2. @MDCryptoWorld: EVM mainnet launch sparks developer excitement
"Ethereum developers can now deploy decentralized apps on Injective using Solidity [...] the mainnet launch is just around the corner."
– @MDCryptoWorld (84K followers · 920K impressions · August 31, 2025, 6:45 AM UTC)
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What this means: This is positive news for INJ. The upcoming EVM compatibility means developers familiar with Ethereum’s programming language, Solidity, can build on Injective more easily. Testnet activity shows over 36,500 code updates, signaling strong developer interest ahead of the official launch.
3. @kylobtc: Token burns speed up, reducing supply
"Another $INJ burn is loading [...] supply gets tighter and conviction gets louder."
– @kylobtc (63K followers · 1.4M impressions · September 21, 2025, 4:00 AM UTC)
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What this means: This is good news for INJ’s value. The protocol has been regularly burning (destroying) about 8,920 INJ tokens weekly, worth roughly $82,000, since August. This reduces the total supply by about 1.2% each quarter, which can increase scarcity and potentially support price growth.
Conclusion
Opinions on Injective (INJ) are mixed. Technical indicators suggest caution, while fundamental developments like EVM integration and the potential approval of a staked ETF point to positive momentum. The overall crypto market sentiment remains fearful (Crypto Market Fear & Greed Index at 35). Key levels to watch include the $8 support price and the timeline for the ETF decision expected in late 2025. The upcoming EVM mainnet launch and ongoing token burns will be important signals to confirm whether bullish trends will take hold.
What is the latest news about INJ?
Injective is seeing growing interest from big financial players, even as the overall market faces challenges. Here’s what’s happening now:
- Treasury Launch (October 7, 2025) – Pineapple Financial starts a $100 million plan to buy and stake INJ tokens.
- ETF Progress (October 7, 2025) – Rex Shares and Osprey Funds apply to create an ETF based on staked INJ.
- Pre-IPO Markets (October 1, 2025) – Injective introduces onchain derivatives for private companies like OpenAI.
In-Depth Look
1. Treasury Launch (October 7, 2025)
What happened:
Pineapple Financial, a fintech company listed on the New York Stock Exchange, began its $100 million Digital Asset Treasury strategy by purchasing $8.9 million worth of INJ tokens (about 678,353 tokens). They plan to stake all these tokens on the blockchain to earn roughly 12.75% annual returns. This move aims to create the largest INJ treasury. This follows a $100 million private investment made in September.
Why it matters:
This is a positive sign for INJ because staking reduces the number of tokens available for trading, which can help increase value. Also, Pineapple’s status as a public company adds credibility and may encourage other institutions to get involved. However, the overall cryptocurrency market dropped by 9.55% in the last 24 hours, which might limit immediate price gains. (Blockworks)
2. ETF Progress (October 7, 2025)
What happened:
REX Shares and Osprey Funds have filed paperwork with the U.S. Securities and Exchange Commission (SEC) to launch an ETF (Exchange-Traded Fund) that focuses on staked INJ tokens. This ETF would be part of the ETF Opportunities Trust, which also includes assets like LINK and HBAR. The ETF would allow investors to earn staking rewards without having to manage the tokens themselves.
Why it matters:
If approved, this would be a big step toward wider acceptance of INJ by traditional financial institutions. However, the SEC is still reviewing similar proposals for other cryptocurrencies like Ethereum and Solana, so there’s no guarantee yet. (Crypto.News)
3. Pre-IPO Markets (October 1, 2025)
What happened:
Injective launched onchain perpetual futures contracts for private companies that haven’t gone public yet, such as OpenAI. These contracts are available on Helix DEX and offer up to 5 times leverage. Unlike Robinhood’s tokenized stocks, these are synthetic contracts settled using decentralized data sources called oracles.
Why it matters:
This expands Injective’s decentralized finance (DeFi) offerings into traditional finance areas, attracting traders interested in leveraged bets on private companies. Recently, trading volume for these real-world asset (RWA) perpetual contracts surpassed $1 billion, according to Injective. (Cointelegraph)
Conclusion
Injective is gaining attention from institutional investors through treasury strategies and ETF filings, but the overall market remains challenging, with INJ down 24% in 24 hours. The key question is whether demand for staking can balance out broader market concerns. Keep an eye on Pineapple’s next $91 million investment and the SEC’s decision on the ETF applications.
What is expected in the development of INJ?
Injective’s roadmap is focused on making decentralized finance (DeFi) easier to use and bringing in more institutional investors.
- iBuild Launch (Q4 2025) – An AI-powered platform that lets anyone create decentralized apps (dApps) using simple text commands, no coding needed.
- MultiVM Mainnet (Q4 2025) – Support for Ethereum and Solana developer tools to run directly on Injective.
- Pre-IPO Markets Expansion (October 2025) – Adding new trading options for private companies before they go public.
- Staked INJ ETF Progress (2025–2026) – Waiting on U.S. regulators to approve a regulated investment product based on INJ.
- Community Burn Upgrades – Monthly token burn events to reduce supply and potentially increase INJ’s value.
Deep Dive
1. iBuild Launch (Q4 2025)
Overview:
iBuild, introduced at the Injective Summit 2025, is a new tool that allows users to build Web3 finance apps just by typing what they want. It had a live demo in August 2025, and the full version is expected by the end of the year.
What this means:
This could be a big boost for INJ because it makes DeFi accessible to people without programming skills, helping the Injective ecosystem grow faster. However, it depends on how well the AI works and how it competes with similar platforms.
2. MultiVM Mainnet (Q4 2025)
Overview:
MultiVM lets developers run apps built for Ethereum (EVM) and Solana (SVM) directly on Injective. The public test version launched in July 2025, with the full mainnet release planned for Q4.
What this means:
This is good news for making different blockchain systems work together. It could attract developers from Ethereum and Solana to Injective’s platform, which offers lower fees. Success depends on smooth integration of liquidity across chains.
3. Pre-IPO Markets Expansion (October 2025)
Overview:
After launching trading for OpenAI perpetual contracts on October 1, Injective plans to add markets for 5 to 10 more private companies by the end of October, using data from Seda Protocol’s oracles.
What this means:
This could increase interest from institutional investors and boost trading volume. However, there are regulatory risks, especially in the U.S., that could affect these markets.
4. Staked INJ ETF Progress (2025–2026)
Overview:
Canary Capital’s Staked INJ ETF began review by the U.S. Securities and Exchange Commission (SEC) in July 2025. Approval could take 6 to 12 months based on past cases.
What this means:
This is a high-risk, high-reward situation. If approved, it would confirm INJ’s regulatory compliance and attract traditional financial investors. If rejected, it could hurt market sentiment.
5. Community Burn Upgrades
Overview:
Starting July 2025, Injective switched to monthly Community Burns, collecting fees from dApps like Helix and Frontrunner to burn INJ tokens. In January 2025 alone, over 22,022 INJ (about $249,000) was burned.
What this means:
Burning tokens reduces supply, which can increase value if demand stays steady. However, if trading volume drops by 15%, the impact of burns could lessen.
Conclusion
Injective’s roadmap combines new technology (like iBuild and MultiVM) with expanding financial markets (pre-IPO derivatives and ETFs), positioning INJ as a link between decentralized finance and traditional finance. The use of AI and cross-chain tools could change how on-chain finance works, but regulatory challenges and developer adoption will be important to watch. The big question is whether growing institutional interest in real-world assets (RWAs) can balance out broader economic pressures on crypto markets.
What updates are there in the INJ code base?
Injective’s recent software updates bring important improvements in how different blockchains work together, tools for developers, and overall network performance.
- iBuild Launch (October 8, 2025) – An AI-powered platform that lets anyone create decentralized apps (dApps) without needing to code.
- v1.16.4 Performance Upgrade (September 25, 2025) – Enhancements that make the network more stable and efficient when connecting with other blockchains.
- EVM Mainnet Integration (August 31, 2025) – Combines Ethereum compatibility with Injective’s existing system, allowing Ethereum-based apps to run smoothly.
Deep Dive
1. iBuild Launch (October 8, 2025)
Overview:
iBuild is a new tool that lets users build decentralized applications on Injective simply by describing what they want in plain English. No coding skills are required.
This AI-driven platform turns text instructions into working dApps, and it was showcased live during the Injective Summit. While full documentation and a public development roadmap are still coming, iBuild aims to make Web3 development accessible to everyone.
What this means:
This is a positive development for INJ because it lowers the barrier for people who aren’t programmers to build on Injective. This could speed up growth and bring more users into the ecosystem. (Source)
2. v1.16.4 Performance Upgrade (September 25, 2025)
Overview:
This update focused on making the network’s nodes (the computers that keep the blockchain running) more reliable and improving how Injective communicates with other blockchains.
Key improvements included better consensus protocols (how nodes agree on the state of the blockchain), smoother handling of cross-chain messages, and fixing memory issues in smart contracts.
What this means:
This update is neutral for INJ holders since it mainly improves backend stability without adding new features for users. Node operators had to update their software by September 25 to keep the network running smoothly. (Source)
3. EVM Mainnet Integration (August 31, 2025)
Overview:
The Ethernia upgrade merged Ethereum Virtual Machine (EVM) compatibility with Injective’s existing WebAssembly (WASM) system. This means developers can now run Ethereum-based apps (written in Solidity) directly on Injective.
This also allows popular Ethereum tools like MetaMask to work seamlessly, while users can access liquidity across the Cosmos ecosystem through Inter-Blockchain Communication (IBC). Transaction costs dropped to less than one cent on average.
What this means:
This is a strong positive for INJ because it opens Injective to a wider developer community, connects Ethereum and Cosmos ecosystems, and could increase decentralized finance (DeFi) activity on the platform. (Source)
Conclusion
Injective’s recent updates focus on making the platform easier to use (with iBuild), improving cross-chain connections (EVM/WASM integration), and strengthening network reliability. These changes position INJ as a key player for next-generation DeFi applications. It will be interesting to see how developer activity grows in the last quarter of 2025 as these technical barriers come down.