- Injective has integrated SPL tokens to allow bridging from Solana.
- SOL’s volume decreased, while INJ’s price has the potential to increase.
Cross-chain bridging platform Injective [INJ] announced that it has integrated tokens developed under the Solana Program Library (SPL). The project made the update known on the 22nd of November, via a post on X (formerly Twitter).
SPL tokens are similar to Ethereum’s [ETH] ERC-20 tokens. But this time, the tokens are created and managed under the Solana network while following specific standards for transactions.
Injective and Solana: A perfect match?
According to Injective, these Solana [SOL] tokens can be bridged using the Injective Hub, a platform primarily designed to ease cross-network transactions on the blockchain. One SPL token that Injective has put at the forefront of the integration is Pyth Network [PYTH].
🌉 Injective has officially integrated SPL tokens.
— Injective 🥷 (@Injective_) November 22, 2023
AMBCrypto had recently reported about PYTH, explaining how the project rewarded some of its early users, and the impact on the price action. Considering Pyth Network’s real-time blockchain feed ability, its integration with Injective means the project might do it faster.
Also, this integration has the capacity to bring in more users to Solana and the Injective protocol. But at the time of writing, Injective’s network growth has tumbled. Network growth shows the number of new addresses actively making transfers on a protocol.
An increase in the metric suggests a hike in traction. On the contrary, a decrease in the metric means adoption has declined. So, in Injective’s case, new addresses have steered clear of participating in transfers on the network.
Transactions fall but INJ tilts bullish
Like Injective, Solana has experienced a drop in transactions on the network. This was confirmed by an overview of the SOL volume using Sentiment. As shown above, SOL’s volume was down to 1.83 billion.
The decrease in volume signals a downward shift in the amount of SOL tokens involved in transactions compared to the last few days. In terms of the price action, INJ was trading at $15.84. This was after it gained 3.08% in the last 24 hours.
SOL, on the other hand, exchanged hands at $54.76, thanks to a 5.62% hike within the same timeframe. Meanwhile, INJ’s 24-hour increase was not enough to change the market sentiment to a solid bullish position.
According to AMBCrypto’s analysis of Quantify Crypto’s data, INJ’s technical score was 50.7. This reading means that most market participants were not sure about the particular direction the token would head next.
Realistic or not, here’s INJ’s market cap in SOL’s terms
Hence, a large size of the market has remained on the sidelines.
However, the Quantify Crypt Trend metric revealed that INJ has a higher chance of being bullish over the next few days. But this projected movement will only happen if the accumulation of the token begins to rise.