Injective (INJ) has emerged as one of the top-performing AI-related cryptocurrencies this week, posting a 12% daily gain as renewed bullish sentiment sweeps across the altcoin market. This surge comes on the back of a completed inverse head and shoulders pattern—an often reliable technical setup signaling bullish continuation—and follows a sharp increase in both trading volume and investor interest.

On the technical front, INJ broke out decisively above the $11.16 neckline of the bullish pattern, confirming a trend reversal. Accompanying this move was a jump in trading volume by over 87%, reinforcing the strength of the breakout. The price also surged past the 50-day Exponential Moving Average (EMA) and the 100-day Simple Moving Average (SMA), located at $10.81 and $11.16 respectively, further strengthening bullish momentum.

Analysts now believe that if INJ can hold support above $15.00, the next upside target lies between $16.50 and $17.00. However, a failure to maintain this level could lead to a pullback toward $12.80, or even a retest of the 100-day SMA if sentiment weakens. If that key level breaks, the bullish pattern would be invalidated, potentially opening the door to deeper losses.

The recent price action is not just about technicals. A surge in media attention and project updates has also played a key role in Injective’s rise. The protocol has been in the spotlight following high-profile media appearances, including an interview with Injective co-founder Eric Chen on CNBC, where he discussed the growth of tokenized real-world assets (RWAs) on the Injective platform.

At the center of this momentum is Injective’s success with its iAssets—tokenized versions of traditional assets like stocks and commodities. According to recent metrics, Injective’s iAssets have achieved an impressive $2 billion in annualized trading volume. This milestone indicates growing interest in decentralized trading of tokenized assets, particularly among institutional players who see RWAs as a bridge between traditional finance and the blockchain space.

Investor sentiment has also been overwhelmingly positive. A recent market survey showed that over 95% of respondents expressed bullish expectations for INJ and fellow AI token JasmyCoin (JASMY). Other popular assets like Jupiter (JUP), Virtuals Protocol (VIRTUAL), and Cardano (ADA) also received favorable ratings, reflecting a broader recovery in the altcoin market as AI and RWA narratives gain traction.

The rise in positive sentiment, coupled with sustained development on the Injective platform, suggests a supportive environment for further growth. However, analysts caution that continued momentum will depend on Injective’s ability to attract users and expand its ecosystem. Publicity alone, they note, won’t sustain a long-term rally unless backed by ongoing improvements in platform functionality and user experience.

Still, the timing appears favorable. As traditional markets show increasing interest in decentralized finance and blockchain-based asset trading, Injective seems well-positioned to benefit. With iAssets gaining recognition and the protocol’s infrastructure continuing to evolve, there’s a strong case for INJ to push higher—assuming it can weather short-term market volatility.

In the immediate term, all eyes are on the $15 support level. Holding that range would pave the way for a retest of the $17 mark, a price not seen since early 2024. For now, Injective is leading the charge in the AI token category, offering a mix of technical strength, investor optimism, and institutional potential.

As the broader crypto market seeks its footing, Injective’s current momentum could be a preview of a larger trend—one where AI and tokenized assets converge to redefine the next phase of decentralized finance.