Summary
TLDR: The Injective community has approved changes to its tokenomics with the launch of the Injective 3.0 system, aiming to make INJ one of the most deflationary assets in crypto. The changes include modifying minting mechanics, setting new inflationary bounds, and increasing the inflation rate change parameter. INJ has dropped 50% from its all-time high but shows signs of a bullish reversal, with a potential 45% surge if it breaks above the critical resistance level at $29.85.
Key Points
1. The Injective community has approved transformative changes to its tokenomics, launching the Injective 3.0 system. This revision aims to make INJ one of the most deflationary assets in crypto by quadrupling the deflationary pressure on INJ over the next two years.
2. The INJ 3.0 proposal introduces adjustments to INJ’s inflationary bounds, setting the lower and upper limits at 4% and 7% respectively. These limits will be incrementally enforced and reassessed in the second quarter of 2026. Additionally, the update increases the inflation rate change parameter from 0.1 to 0.5, making INJ’s inflation rate more reactive to staking activity.
3. Technical analysis indicates a potential bullish reversal for INJ, with the formation of a cup and handle chart pattern. If INJ can surpass the critical resistance level at $29.85, it could potentially see a price increase of over 45% to around $41.47.