In the midst of one of the strongest bear seasons in the last two years, the Near Protocol cryptocurrency is trying to avoid major losses, temporarily detaching itself from the widespread negative sentiment in the crypto market. What is the reason?, then we discover it.
At the time of this writing, NEAR is trading at $11.22, accumulating a gain of 6.15% in the last 24 hours, although maintaining a loss of 2.21% in the last 7 days.
Its market capitalization is $7.428 billion, so it ranks 19th in the Crypto Online ranking.
In case you don’t know it yet, Near Protocol is a layer-one blockchain, designed in the form of a community-managed cloud computing platform.
Its purpose is to eliminate some of the limitations that have been congesting some blockchain networks, such as low transaction speeds, low performance and little interoperability.
Thanks to the highly scalable infrastructure it offers, it has become one of the most attractive development environments for decentralized applications.
What’s behind the recent Near Protocol cryptocurrency rally?
Near is a fairly new platform (launched in 2020), so its adoption is just getting started. This has allowed the price of its native currency to develop with a lot of bullish force during the last months.
In the last month alone, daily transactions have increased by 140%. The user base, which has been growing exponentially since the birth of the network, also showed an increase of 60% during the last 30 days.
These are quite revealing figures about the adoption of this project, as we are witnessing them at a time of widespread slowdown in the crypto market.
Analysis and forecast of NEAR
On the NEAR vs USDT weekly chart, we can quickly observe a large bullish long-term strength.
In fact, while almost all crypto market participants fell, or locked themselves in sideways ranges, NEAR continued to look for new all-time highs, albeit with some weakness.
Now we see the price of this currency locked in a large ascending channel, which although it is a sign of resilience on the part of buyers, the little strength to continue marking highs creates a bearish divergence signal between the price chart and the RSI indicator.
It seems likely that the channel in which NEAR is is crossed by the bottom, giving way to a relevant fall.
However, it is also likely that after this happens, the dominant uptrend will quickly curb sales, thus marking the new low before resuming that direction.
Key short-term levels
Despite the recent isolated rally of the NEAR cryptocurrency, we still do not see a decisive bullish signal.
The short-term trend is bearish. The moving averages EMA of 8 and SMA of 18 daily periods are crossed to the downside following this direction.
Currently, we are seeing a slight rebound, having managed to break through the support at $10.33; however, most likely, this level will be crossed in the coming hours/days.
To think that a major rise is going to occur, the resistance at $12.98 must be overcome. This would give way to the creation of higher and higher minimums.
All our publications are of an informative nature, so in no case should they be regarded as investment advice.
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