NEAR Technical Analysis: Long Drive With Bulls To Reach $16
NEAR Protocol is a layer-one blockchain that has the look and feels of a cloud computing platform run by a community. It uses human-readable account names, in contrast to the cryptographic wallet addresses commonly used in Ethereum.
The protocol makes use of the Nightshade technology to increase the efficiency of transactions by a huge amount. Nightshade is a variant of the sharding wherein each set of validators processes transactions simultaneously across several chain shards, which increases the overall efficiency that the blockchain can offer.
Let us move ahead to read about Near technical analysis.
Past Performance of NEAR
The NEAR coin price has shown a growth of more than 10% in the past 24 hours with a boom in buying pressure. The recovery comes after a downfall of more than 40% in the last month driving the price below the $12.5 horizontal zone. The recovery comes with the support of a 200-day EMA which has pushed the price higher to the 50-day EMA.
NEAR Technical Analysis
The NEAR coin price action shows a double bottom breakout in the 4-hour chart. The neckline of the pattern is at $11.15 and the price shows a slight retracement to retest the breakout.
The crucial Exponential Moving averages show the price struggling to break above the 50-period EMA in the 4-hour chart. Hence, the breakout of the average will drive the price higher to the 200-period EMA at $13.75.
The MACD indicator shows the MACD and signal lines rise above the zero line in the 4-hour chart. Moreover, the line showcases a bullish divergence in the double bottom pattern. Therefore, the indicator remains bullish for the NEAR token.
The RSI indicator shows growth in underlying bullishness as the slope spikes into the nearly overbought zone and crosses above the 14-period average. That is why the indicator suggests a bullish continuation.
In a nutshell, the indicators and the price action reflect a potential continuation in the uptrend and the price may break above the $12.5 horizontal zone.
Upcoming Trend
The NEAR coin price might have a phenomenal upcoming uptrend as it breaks above the double bottom pattern in the 4-hour chart. Hence, short-term buyers can find entry opportunities at current prices. However, long-term holders need to wait till the $12.5 breakout.
The price action suggests upcoming resistance levels at 200-period EMA (4-hour) and $16 above the $12.5 zone. And, on the opposite end, support levels are at $11 and $9.75.
At the time of writing, TradingView gives a "SELL" signal for the NEAR token.