Injective (INJ) gained 7.61% to trade at $3.24, testing a historically significant support level near $3. The daily rebound occurs despite an 18% weekly loss and follows a major governance update, IIP-617, which accelerates the network’s transition to a deflationary token model by adjusting inflation parameters.
The price of Injective (INJ) rose 7.61% to reach $3.24 as the asset tested a major long-term demand zone. Daily trading volume increased 6.27% to $105.31 million during this period of renewed interest.
According to a post on X by analyst CryptoPulse, the token returned to this crucial area after a sharp rally and subsequent sell-off. “Repeated defense of this zone could set the stage for a relief rally toward the $8–$10 range,” the analyst noted regarding the $3 level.
Market data indicates elevated volatility with long candle wicks showing buyer-seller competition. A confirmed breakdown below the $3 support zone could expose the token to deeper losses.
Governance developments are also shaping the token’s economic structure. The community approved proposal IIP-617 with 99.89% support to revise inflation parameters.
This update accelerates the transition to a deflationary model by reducing new token issuance more aggressively. The changes work alongside existing mechanisms, including a community initiative that has already burned approximately 6.85 million INJ tokens.
