An astute cryptocurrency analyst has recently shed light on the intriguing scenario that Injective is posturing towards a buy signal that in past occurrences, catalyzed voluminous price rallies up to 700% and 555% respectively.
In a meticulous assessment, analyst Ali Martinez drew attention to the emerging Tom Demark (TD) Sequential signal reflecting on the price chart of Injective for the previous week. Conventionally, the TD Sequential bears considerable value among indicators in technical analysis, predominantly appreciated for detecting potential points where an asset’s price could reverse its course.
To demystify, the indicator comprises two stages – setup and countdown. The setup embodies the initial phase where candles of a uniform shade (either green or red) are enumerated up to a total of nine. Once this tally reaches nine, the price may stand at a tipping point, ready to shift its trajectory.
Understandably, the TD Sequential would allude to an anticipated bottom for the asset if the sequential red candles complete the setup, implying a declining trend just previously. Conversely, an uptrend on the conclusion of the phase would suggest offloading the asset, signaling a sell.
Post the setup, the countdown stage ensues. In this, candles bearing the same color are counted until the number reaches thirteen. Just as with the ninth candle in the setup, the thirteenth candle of identical disposition might indicate that the price has again arrived at another potential point of reversal.
The recent analysis by Martinez revealed that Injective’s weekly price has successfully manifested a TD Sequential signal as explained above. Illustrative evidence for this surfaced in the form of a chart shared by the analyst, highlighting the progression of this signal for the particular cryptocurrency.
As the chart insinuates, Injective appears to have concluded a TD Sequential setup amid a downturn, hinting that the digital asset could potentially experience a reversal instigating an upward trend. On the chart, consequential price movements followed by similar signals in the past have been flagged. In these instances, the first signal supposedly set off a hearty 700% rally, while the other sparked an equally impressive 556% surge.
Drawing from this precedent, the outlook could be sparkling for Injective, as the latest TD Sequential buy signal may power another wave of bullish momentum for the digital asset’s price.
However, it’s worthwhile to caution that the TD Sequential may not always fortify the desired outcome for the coin. There have been instances where the indicator signaled a sell in the midst of the last stockpile mentioned.
In light of this, it would be interesting to observe the evolution of Injective’s price. Observers and investors will keenly watch for signs if the present TD Sequential buy signal could replicate its past success, lending an immediate bullish impact on the digital asset’s price with the potential for a similar grand rally.
At the moment, the Injective price is stationary, consolidating over the past month and currently trading near $26, remaining equally poised above and below its trading range.
