INJ has encountered a gain of 100%+ in the trading front for the perpetual contracts of the future in the sector of decentralized apps in the best way. This is a particular crypto-sector that is exactly ripe for development and growth.
This is specifically the case since discussing the regulations, KYC, and taxations still continue taking place. According to crypto trading news today, a particular DEX platform has started gaining a little bit of traction and it is known as Injective or INJ. This interoperable protocol with layer-one features was created in order to properly facilitate the entire Web3 decentralized or DeFi applications.
According to the data shown from Cointelegraph TradingView and Markets Pro indicate that after hitting a low of $3.91 on Feb. 3, the price of INJ has rallied 157.8% to a daily high of $10.08 on Feb. 11 amidst a 1,756% spike in its 24-hour trading volume to $306 million.
There are 3 reasons for the rise in demand for INJ and that include the totaling of sustenance for new assets in spot and perpetual markets, the release of Injective Bridge v2, and a climbing total value locked on the protocol as a result of staking and the addition of new assets.
Know All About Injective Bridge In the Best Way
The most recent development that helped kick off the price growth for INJ was the release of the Injective Bridge v2 at the end of January, which included a variety of upgrades designed to help facilitate cross-chain compatibility with Cosmos (ATOM) and Ethereum (ETH).
Over time, Injective looks to have the bridge become a launchpad of sorts for new Web3 projects that want to allow users to transfer assets from the Ethereum network for zero fees. There are also zero bridge fees when transferring funds into the Inter-blockchain communication protocol (IBC)-enabled chains.
Better Support for Assets with Injective Protocol
A particular second development that helps in bringing fresh momentum to this particular protocol is also the addition of different assets to the entire DEX in the first place. This also includes the first-ever decentralized perpetual futures for ATOM.
Along with a perpetual futures contract for ATOM, Injective also added spot trading for the Cosmos-based project Chihuahua (HUAHUA) and there is also an active community vote to add Juno.
The addition of new assets helped lead to an increase in trading volume on the protocol over the past few days after hitting its lowest level in several months on Feb. 2.
While it has excited the Injective community to see an uptick in trading volume on the protocol, it’s worth noting that the current volume is but a small fraction of the volume seen on the top perpetual futures protocol dYdX, which saw a daily volume of $3.2 billion on Feb. 10 and $2.8 billion on Feb. 11.
The release of Injective Bridge v2 was also followed by a surge in the total value locked on the platform, and data from DeFi Llama shows the metric hitting a new all-time high. As of the 11th of February, the total value looked on Injective is $147.35 million, an increase of more than $100 million from its low of $43.96 million on Jan. 23.
The TVL on INJ consists of assets that are deposited for trading purposes as well as INJ tokens that are staked on the network earning an APR of 9.15%. VORTECS™ data from Cointelegraph Markets Pro also began to detect a bullish outlook for INJ on Feb. 6 prior to the recent price rise.